inflation, with emphasis on the role of oil shocks and accommodative monetary policy. The model features oil as a complementary … VAR. We then show that our model does a good job of explaining unemployment and inflation since 2010, including the recent … inflation surge that began in mid 2021. We show that mainly accounting for this surge was a combination oil price shocks and …

inflation, with emphasis on the role of oil shocks and accommodative monetary policy. The model features oil as a complementary … VAR. We then show that our model does a good job of explaining unemployment and inflation since 2010, including the recent … inflation surge that began in mid 2021. We show that mainly accounting for this surge was a combination oil price shocks and …

We develop and estimate a structural model of inflation that allows for a fraction of firms that use a backward looking … measures of marginal cost as the relevant determinant of inflation, as the theory suggests, instead of an ad-hoc output gap …. Real marginal costs are a significant and quantitatively important determinant of inflation. Backward looking price setting …

as a tool to compare the characteristics of European inflation dynamics with those observed in the U.S. We also analyse … the factors underlying inflation inertia by examining the cyclical behavior of marginal costs, as well as that of its two …