This paper investigates the inflation effects of oil price expectations shocks constructed as functional shocks, i … out to investigate second-round effects on inflation through the inflation expectations channel. These are found to be … shock decomposition exercise show that inflation and inflation expectations are primarily driven by changes in the curvature …

, we follow Roberts (1997) and Adam and Padula (2003) and use direct measures of inflation expectations. The data source is … the Ifo World Economic Survey, which quarterly polls economic experts about their expected future development of inflation … turns out to more relevant for most countries in our sample. (ii) The use of survey data for inflation expectations yields a …