This paper reviews the key economic issues concerning the welfare costs of inflation and deflation, with a view to … shedding light on the desirable properties of the inflation process. Our review of the evidence on the overall costs of … inflation and deflation indicates that such costs could be even higher than previously thought, also at moderate rates of …

indicators in predicting euro area HICP inflation out-of-sample over the period first quarter 1999 till third quarter 2006 …

and beyond the determinants of currency invoicing (i.e., inflation rate, inflation volatility, foreign exchange market … by a drop in inflation volatility. …

This paper examines the presence of asymmetric behavior in exchange rate pass-through (ERPT) to CPI inflation in 12 …

This paper examines the presence of asymmetric behavior in exchange rate pass-through (ERPT) to CPI inflation in 12 …

compares price inflation before the crisis with the necessary and actual price cuts that have taken place since the outbreak of … the crisis, predicting a decade of stagnation for the south and inflation for the north. Keynesian demand policy is …

We find strong econometric support for a break in the relationship between perceived and HICP inflation in the euro …

, and Belgium and Malta being the largest losers. Governments are net winners of inflation, while the household (HH) sector … Spain turn out to be net winners of inflation. Considerable heterogeneity exists also within the HH sector: relatively young … middle class HHs are net winners of inflation, while older and richer HHs are losers. As a result, wealth inequality for the …

Competitiveness adjustment in struggling southern euro-area members requires persistently lower inflation than in major … trading partners, but low inflation worsens public debt sustainability. When average euro-area inflation undershoots the two …, inflation and budget surplus assumptions can easily result in a runaway debt trajectory. The case for a greater than five …