In this paper we reconsider the degree of international comovement of inflation rates. We use a dynamic hierarchical … factor model that is able to decompose Consumer Price Index (CPI) inflation in a panel of countries into (i) a factor common … to all inflation series and all countries, (ii) a factor specific to a given sub-section of the CPI, (iii) a country …

In this paper we reconsider the degree of international comovement of inflation rates. We use a dynamic hierarchical … factor model that is able to decompose Consumer Price Index (CPI) inflation in a panel of countries into (i) a factor common … to all inflation series and all countries, (ii) a factor specific to a given sub-section of the CPI, (iii) a country …

The canonical New Keynesian model specifies inflation as the present-value of future real marginal cost. This paper … assess the model's ability to match the behavior of actual inflation. In accordance to the literature, the model fits Euro … and a completely failing model. Allowing for inflation inertia through backward-looking indexation narrows confidence …

We examine both the degree and the structural stability of inflation persistence at different quantiles of the … conditional inflation distribution. Previous research focused exclusively on persistence at the conditional mean of the inflation … higher inflation persistence at the upper than at the lower tail of the conditional inflation distribution. Based on post …

derived. The reason is that inflation, output and the interest rate are convex functions of each member's idiosyncratic degree … of model uncertainty. If the degree of model uncertainty becomes more heterogenous, inflation volatility falls due to …

The adoption of a credible monetary policy regime such as inflation targeting is known to reduce the persistence of … inflation fluctuations. This conclusion, however, is derived from aggregate inflation or sectoral inflation rates, not from … regional inflation data. This paper studies the regional dimension of inflation targeting, i.e. the consequences of inflation …

We examine both the degree and the structural stability of inflation persis tence at different quantiles of the … conditional inflation distribution. Previous research focused exclusively on persistence at the conditional mean of the inflation … higher inflation persistence at the upper than at the lower tail of the conditional inflation distribution. Based on post …

We examine both the degree and the structural stability of inflation persistence at different quantiles of the … conditional inflation distribution. Previous research focused exclusively on persistence at the conditional mean of the inflation … rate. As economic theory provides reasons for inflation persistence to differ across conditional quantiles, this is a …

derived. The reason is that inflation, output and the interest rate are convex functions of each member's idiosyncratic degree … of model uncertainty. If the degree of model uncertainty becomes more heterogenous, inflation volatility falls due to …

The adoption of a credible monetary policy regime such as inflation targeting is known to reduce the persistence of … inflation fluctuations. This conclusion, however, is derived from aggregate inflation or sectoral inflation rates, not from … regional inflation data. This paper studies the regional dimension of inflation targeting, i.e. the consequences of inflation …