A major challenge for monetary policy has been predicting how exchange rate movements will impact inflation. We propose …

This paper uses a "trendy" approach to understand UK inflation dynamics. It focuses on the time series to isolate a low …-frequency and slow-moving component of inflation (the trend) from deviations around this trend. We find that this slow-moving trend … explains a substantial share of UK inflation dynamics. International prices are significantly correlated with the short …

inflation targeting, and the granting of operational independence to the Bank of England. In this paper we examine what impact …, if any, these events have had on inflation expectations. A series of Granger causality tests are used in order to examine … the causal relationship between a measure of prices and inflation expectations. We find evidence that the introduction of …

. -- Great inflation ; passive policy ; break tests ; vector autoregressions …