Most of the empirical literature on consumption behaviour over the last decades has focused on estimating Euler equations. However, there is now consensus that data-related problems make this approach unfruitful, especially for answering policy relevant issues. Alternatively, many papers have...

This paper gives a short overview of how inflation expectations are measured in Finland and considers the possibilities of using such data to predict actual inflation. In Finland, there are three regularly published surveys, which include questions on ex post perceptions and/or ex ante...

The purpose of this study is to examine the relationship between import prices and exchange rates in Finland.The concept of pass-through is associated with how prices of internationally traded goods are affected by changes in exchange rates. Pass-through is said to be complete when the exporter...

In this paper a simple and transparent macroeconomic model is developed for the evaluation of alternative macroeconomic scenarios.With the help of the model it is evaluated how fast economic growth and what kind of structure of demand and supply is needed in order to reduce unemployment to 200...

It is well known that estimation of the labour supply function is complicated by the non-linearity of the individual s budget constraint.Non-linearity may be caused by a number of factors such as the structure of the tax/benefit scheme or overtime rates. Non-linearities also cause problems in...