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This paper addresses the issue of measuring the NAIRU for the euro area and assessing the robustness and precision of the obtained estimates. The empirical framework adopted is based on systems combining an Okun-type relationship between cyclical unemployment and the output gap with a Phillips...
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, to determine whether there is any type of bias on the selection process followed by the Commission when deciding which …
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We propose a first order bias correction term for the Gini index to reduce the bias due to grouping. The first order … reveals an intuitive formula for the remaining second order bias which is useful in empirical analyses. We analyze the … it reduces a considerable share of the bias due to grouping. …
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inflation rates are diverging, disaggregate inflation rates are converging. We find that aggregation appears to bias evidence …Monetary policy of the European Monetary Union targets aggregate euro area inflation. Concerns are growing that a focus … on aggregate inflation may cause national inflation rates to diverge. While different explanations for diverging …
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Current HICP measurement practices produce an upward bias of about one-ninth of a percentage point in German inflation … consider this source of mismeasurement when assessing the precision of the HICP as a measure of "true" inflation. …
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