This study analyses the impact of economic catching-up on annual inflation rates in the European Union with a special … focus on the new member countries of Central and Eastern Europe. Using an array of estimation methods, we show that the … Balassa-Samuelson effect is not an important driver of inflation rates. By contrast, we find that the initial price level and …

This study analyses the impact of economic catching-up on annual inflation rates in the European Union with a special … focus on the new member countries of Central and Eastern Europe. Using an array of estimation methods, we show that the … Balassa-Samuelson effect is not an important driver of inflation rates. By contrast, we find that the initial price level and …

factors on observed inflation rates first in an accounting framework and then by relying on panel estimations. Our estimation … root of different inflation rates in Europe including the EU-27. Among others, we study the structural and cyclical factors … descriptive statistics. Subsequently, we set out the possible mismatches between price level convergence and inflation rates …