The monetary authorities need a future measure of inflation trend to keep on tracking the inflation on target. Many … alternatives of the core inflation measure have appeared in the recent literature pretending to avoid the deficiencies of the usual … headline inflation index as a predictor. This price index is defined as some weighted average of the individual price change of …

employing the Kalman filter. The time-varying cointegration parameters suggest that the security measures indeed impacted price …

the interest rate is imposed. This finding would apparently suggest that the decline in inflation and nominal interest …