The “Great Recession” has painfully demonstrated the impact of real estate prices on real economic activity. Hence, close examination of real estate price changes is important for business cycle analysis and economic policy. However, most real estate price indices for Germany either exhibit...

Economists have been noting for decades that Consumer Price Index (CPI) in the developed countries is overstating inflation by 0,5−2,0% per year. A significant part of the bias is due to the presence of technology products and differentiated products in the CPI basket. An increase share of...