We combine the ideas of the trimmed mean and the Edgeworth index to construct an alternative measure of core inflation named "Trim of Most Volatile Components (TMVC)". At each point of time this measure trims away the components of the price index, which have been most volatile in the past. TMVC...

We combine the ideas of the trimmed mean and the Edgeworth index to construct an alternative measure of core inflation named Trim of Most Volatile Components (TMVC). At each point of time this measure trims away the components of the price index, which have been most volatile in the past. TMVC...