We investigate inflation convergence between the Euro Zone and its CEE partners using panel data methods that …

are affected by the undershooting of the euro area inflation target. To shed light on this issue, we estimate an open …-economy, New Keynsian Phillips curve, in which we control for imported inflation. Regression results suggest that falling food and … energy prices have been the main disinflationary driver. But low core inflation in the euro area has also had a clear and …

The purpose of this paper is to examine the inflation differentials and their determinants in the first twelve euro …, show that it is mostly structural and cyclical factors that drive inflation differentials among these euro countries and … explain increase in certain countries' inflation. We conclude by mentioning the potential role that inflation differentials …