complexity of the currency conversion rates. In line with this theory, the paper finds that the evolution of prices for food … cross-country differences in the mismatch of perceived and actual inflation in the aftermath of the cash changeover are …

This paper provides a comprehensive empirical analysis of the role of discretionary fiscal policy for inflation … is difficult to find robust evidence of the fiscal policy stance or impulse impacting directly on inflation differentials …. We do find, however, support for an indirect effect of discretionary fiscal policy on inflation differentials working …

inflation and wage inflation) into trend and cyclical components. To do so, it relies on several reduced form relationships … reasonable forecasting performance in particular in terms of GDP and core inflation vis-a-vis a set of benchmarks …

to 2003. It offers an overview of the theory of purchasing power parity (Ppp), focusing particularly on likely sources of …

predictive power of the output gap for inflation in the euro area. We find evidence of changes in trend growth around the … estimates in real time. Our measures help forecasting inflation over most of our evaluation sample (2001-2010) but fail …

-country data set and a broad array of variables, in order to test the inflation forecasting performance of extracted factors at the … indicators of inflation, but the comparative advantage of the factors is less clear. Nevertheless, alternative indicators such as …

We study the convergence properties of inflation rates among the countries of the European Monetary Union over the … and multivariate unit root tests on inflation differentials, arguing that the power of the tests is considerably increased … hypothesis over the period 1980-1997. We then investigate whether the second sub-sample is characterized by stable inflation …

Can the aging process affect inflation? The prolonged decline of fertility and mortality rates induces a persistent … downward pressure on the natural interest rate. If this development is not internalized by the monetary policy rule, inflation … inflation found in the data for the euro area. In this model, continuing to follow the same rule makes inflation to be on a …

Surprisingly it did not, or at least not directly. Using micro data on consumer prices and sectoral inflation rates … has altered the behaviour of retail price setting and/or inflation dynamics. We find no evidence that anything has changed … earlier patterns. On the contrary, we do find evidence of a decline in the persistence of the inflation process in the mid …

This paper reviews recent approaches to modeling the labour market and assesses their implications for inflation … volatile inflation. Models with wage stickiness and right-to-manage bargaining or with firm-specific labour emerge as the most …