Under nominal progressive taxation, inflation drives up tax rates if the schedule is not adjusted, leading to bracket creep. To isolate bracket creep from other sources of tax rate changes, I propose a non-parametric decomposition of changes in tax rates. Applying the decomposition to German...

We study how within-store price variation changes with inflation, and whether households exploit it to attenuate the inflation burden. We use micro price data for food products sold by 91 large multi-channel retailers in 10 countries between 2018 and 2024. Measuring unit prices within narrowly...

How does the transmission of monetary policy change when a central bank digital currency (CBDC) is introduced in the economy? Do aspects of CBDC design, such as how substitutable it is with bank deposits and whether it is interest bearing, matter? We study these questions in a general...

We use Canadian home scanner data to study household food inflation rates during periods of low and high inflation. We find that during the post-pandemic surge in inflation, the actual inflation rates experienced by different households varied more widely. Low-income households faced higher...

This article measures the degree of potential de-anchoring of inflation expectations in the euro area vis-à-vis the inflation objective of the European Central Bank (ECB). A no-arbitrage term structure model that allows for a time-varying long-term mean of inflation expectations, π୲ ∗, is...

Was the episode of high inflation in the Philippines in 2022 driven primarily by supply or demand factors? How did the relative contributions of supply and demand evolve over time? This study adopts the methodology proposed by Shapiro (2022) and Shapiro (2023) to disaggregate Philippine...