inflation should differ between inflation and deflation episodes, using data for Japan and Hong Kong. We use a random … during both the inflation and deflation periods, and the parameter on the second moment changes sign in the deflation period …

Using frequency domain techniques to separate short and long run dynamics and decomposing inflation into its common and … idiosyncratic components, we study the regime dependence of the inflation-RPV relation in Argentina and the USA. Under High … inflation, strong long-run comovement between RPV and Inflation is found for both economies, that extends to the short run …

asymmetry of sectoral relative-price changes and the aggregate inflation rate. This correlation is widely interpreted as … evidence that short-run inflation is determined by supply-side factors; however, we study whether, in addition to the inflation …, that the positive and significant effect of relative-price change asymmetries on inflation is not robust with respect to …

aggregate inflation and the higher-order moments of the distribution of relative price changes. Our empirical findings confirm … explanatory variable for the inflation rate. Further, the skewness measure also helps to explain shifts in the Phillips curve …

Monetary search theory implies that the real effects of inflation via its impact on price dispersion depend on the … level of search costs and, thus, on the level of market integration. For less integrated markets, the inflation …-price dispersion nexus is predicted to be asymmetrically V-shaped which results in an optimal inflation rate above zero. For highly …

In recent macroeconomic theory, relative price variability (RPV) generates the central distortions of inflation. This … paper provides first evidence on the empirical relation between inflation and RPV in the euro area focusing on threshold … effects of inflation. We find that expected inflation significantly increases RPV if inflation is either very low (below -1 …

Recent monetary search models emphasize that the real effects of inflation via its impact on price dispersion depend on … the level of search costs and, thus, on the level of market integration. For less integrated markets, the inflation …-price dispersion nexus is predicted to be asymmetrically V-shaped which implies an optimal inflation rate above zero. For highly …

We verify whether cocoa prices could be a source of inflation in five countries of the West African region within a … remittances enables us to examine the effect of an international capital flow variable on inflation. The results reveal that the … influence of cocoa prices on consumer price inflation is strong and statistically significant. The influence of the budget …