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The purpose of the present paper is to study how households form inflation expectations. Using a novel survey-base dataset of Italian households' opinions of inflation we investigate two separate, but related, types of behavior: 'inattentiveness' and 'anchoring'. The present analysis extends the...
Persistent link: https://www.econbiz.de/10011734165
We use a representative online survey to investigate the inflation expectations of German consumers and the credibility of the ECB's inflation target during the recent high inflation period. We find that credibility has trended downwards since summer 2021, reaching an all-time low in April 2022....
Persistent link: https://www.econbiz.de/10013285915
Since 2022, consumer inflation expectations have shifted, with a significant increase in those expecting high inflation in the coming year and a surge in those expecting deflation further in the future. Using data from the Canadian Survey of Consumer Expectations, this paper seeks to assess the...
Persistent link: https://www.econbiz.de/10014302722
Survey-based expectations are mostly used by monetary authorities for inflation forecasts and evaluation of the credibility of their inflation fighting policies. It is also an important link in the monetary policy transmission mechanism. This study examined the predictive ability of business...
Persistent link: https://www.econbiz.de/10011473533
household-level data from the Survey Research Center at the University of Michigan. We highlight a fundamental disconnection … revise them towards professional forecasters' mean forecast …
Persistent link: https://www.econbiz.de/10013105114
Central bank surveys frequently elicit households' probabilistic beliefs about future inflation. The responses provide … only a coarse picture of inflation beliefs further away from zero. Using data from the Bundesbank household panel, we show …
Persistent link: https://www.econbiz.de/10013483001
In this paper we analyze how consumers in Germany updated expectations about in aflation in response to the COVID-19 outbreak. We use a fixed effects model to estimate the effect of regional exposure to COVID-19 cases, the stringency of restriction measures and local unemployment rates on...
Persistent link: https://www.econbiz.de/10014227597
price changes or in terms of the inflation rate in a new socio-economic household survey established at the University of …
Persistent link: https://www.econbiz.de/10010425204
I construct a novel measure of household uncertainty based on survey data for European countries. I show that household … uncertainty shocks do not universally behave like negative demand shocks. Notably, household uncertainty shocks are largely … average markups along with monetary policy play a role in the transmission of household uncertainty to inflation. These …
Persistent link: https://www.econbiz.de/10012818726
household surveys use a response scale that is tailored towards low-inflation regimes. Using data from a randomized controlled …Central bank surveys frequently elicit households’ probabilistic beliefs about future inflation. However, most …
Persistent link: https://www.econbiz.de/10014472800