Uncertainty about the future path of inflation affects consumption, saving and investment decisions as well as wage … negotiations and price setting of firms. These decisions are based on inflation expectations which are a key determinant of … inflation in the New Keynesian Phillips Curve. In this paper we therefore explicitly analyse the relationship between inflation …

principal components estimator, suited to estimate systems of fractionally cointegrated processes. The proposed core inflation … measure is the scaled common persistent factor in inflation and excess nominal money growth and bears the interpretation of … monetary inflation. The proposed measure is characterised by all the properties that an u0093idealu0094 core inflation process …

Equilibrium correction models of the price level are often used to model inflation. Such models assume that the long …

Distortionary effects of inflation on relative prices are the main argument for inflation stabilization in macro models … with sticky prices. Under indexation of non-optimized prices those models imply a nonlinear and dynamic impact of inflation … generalized form of) the theoretical relationship between inflation and RPV. We confirm the impact of inflation fluctuations but …

minimizes the pitfalls associated with potential structural breaks. Exchange rate forecasting, inflation forecasting, output …

attain local stationarity and bounded mean values. The model is applied to the analysis of inflation dynamics. Allowing for …

inflation are co-breaking. We argue that the step-like development of inflation is in line with shocks and monetary policy that …% inflation was accomplished by introducing an inflation targeting regime. …

Using frequency domain techniques to separate short and long run dynamics and decomposing inflation into its common and … idiosyncratic components, we study the regime dependence of the inflation-RPV relation in Argentina and the USA. Under High … inflation, strong long-run comovement between RPV and Inflation is found for both economies, that extends to the short run …

US inflation appears to undergo shifts in its mean level and variability. We evaluate the performance of three useful …