This paper decomposes the time-varying effect of exogenous exchange rate shocks on euro area countries inflation into … quarters of the past six years, especially in turning point periods. Our main results indicate that headline inflation in euro … inflation this increasing sensitivity is solely reliant on a sustained surge in the degree of comovement, for energy inflation …

This paper develops a model of inflation in an open economy. The model permits analysis of the susceptibility of open … paper arrives at a “structuralist inflation targeting agenda”. Based on a proper conception of inflation dynamics, this … involves “getting inflation targeting right” rather than either accepting mainstream inflation targeting prescriptions or …

The effect of the euro exchange rate on inflation has taken on significant importance recently, with the application of …-up in expected euro area inflation. However, the subsequent depreciation, since February 2018, might reflect factors related … movements to overall consumer-price inflation in the Spanish economy has increased slightly in recent years, owing mainly to the …

The paper studies exchange rate implications of trend inflation within a two-country New Keynesian (NK) model under … incomplete international financial markets. A NK Phillips curve generalized by trend inflation with a positive long-run mean … implies an expectational difference equation of inflation with higher-order leads of expected inflation. The resulting two …

This paper decomposes the time-varying effect of exogenous exchange rate shocks on euro area countries inflation into … over the past six years – especially in turning points periods. Our main results indicate that headline inflation in euro … sensitivity relies solely on a sustained surge in the degree of comovement for headline inflation, it is also based on a higher …

This paper uses the impulse response from an estimated structural autoregressive model of the inflation process to … elasticity of inflation to exchange rate changes is about 0.02, and it takes about eight quarters to reach its full-impact of … variance decomposition analysis suggests that money supply has contributed more to Nigeria's inflation process relative to the …

experiment of the past decade, stemming from a belief of the government that higher interest rates cause higher inflation … eventually a negative coefficient on inflation in the policy rule. In such an environment, was the exchange rate still a random … walk? Was inflation anchored? Does the "standard model" suffice to explain the broad contours of macroeconomic outcomes in …

This paper develops a theory of inflation inertia based on forward looking staggered price setting in the nontradable … inflation rate take time even if they are fully credible, and they are associated with significant output losses in nontradables …

This study was initiated with the intention of examining the impact of exchange rate and inflation on the performance … dependent variables, while inflation and exchange rate as the independent variables in the two model equations. In a bid to … address the objectives of the study, the Auto Regressive Distributed Lag model was used. The findings indicate that inflation …