variable for Swedish inflation than the output gap. However, standard errors in the estimations are large and it is in fact … difficult to pin down a statistically significant relationship between either real marginal cost or the output gap and inflation. … superior to the traditional output gap. In this paper, a marginal-cost based New Keynesian Phillips curve is estimated on …

This study provides country-specific empirical evidence on the optimal inflation-growth threshold in the WAMZ over the … economies generally focused on exogenous approaches of determining optimal inflation which impose a sharp and most often linear … behaviour on the threshold level of inflation. This paper contributes to the policy debate on the inflationgrowth nexus by …

this policy strategy could have largely prevented the post-pandemic inflation episode. …

Inflation is a monetary phenomenon. While this statement is widely accepted in terms of a long-run relationship, the … quantity theory has been made operational also for the short-run dynamics of inflation by so-called Pstar models. An error … inflation. The response of the HICP is strongly positive. Other factors such as raw material prices and unit labor costs also …

Phillips curve, the sum of coefficients associated with expected inflation is far beyond unity, whatever measure of expected … inflation rates is employed. Therefore, either the NAIRU concept is not applicable to Germany or, as it is our suggestion, one … estimates the unemployment rate that is compatible with a tolerable inflation rate of say 2 percent following roughly the …

In this paper we develop and estimate a behavioral model of inflation dynamics with monopolistic competition, staggered … naive. Fundamentalists are forward-looking in the sense that they believe in a present-value relationship between inflation … forecast future inflation. Agents are allowed to switch between these different forecasting strategies conditional on their …

Recently a market in options based on CPI inflation (inflation caps and floors) has emerged in the US. This paper uses … quotes on these derivatives to construct probability densities for inflation. We study how these pdfs respond to news … empirical pricing kernels. The options-implied densities assign considerably more mass to extreme inflation outcomes (either …

We analyze cross-household inflation dispersion in Europe using "fictitious" monthly inflation rates for several … to 2008. Our analysis is carried out on a panel of 23 up to 27 household-specific inflation rates per country for 15 … cross-country differences in inflation inequality with respect to the number of driving forces in the panel. In particular …