This paper decomposes consumer price inflation into pure inflation, relative price inflation, and idiosyncratic … from 1995 to 2019. We find that pure inflation is the trend around which PCE price inflation fluctuates, while relative … price inflation and idiosyncratic inflation drive the fluctuation of PCE price inflation around the trend. Unlike Reis and …

This paper provides an overview of statistical measurement issues relating to alternative measures of core inflation …, and the criteria for choosing among them. The approaches to measurement considered include exclusion-based methods …

well as the improvements made to this measure of inflation since 2003 – finds that the HICP continues to fulfil the … prerequisites for the index underlying the ECB’s definition of price stability. Nonetheless, there is scope for enhancing the HICP … replacement and quality adjustment. Such measures may also help reduce the measurement bias that still exists in the HICP. Overall …

well as the improvements made to this measure of inflation since 2003 – finds that the HICP continues to fulfil the … prerequisites for the index underlying the ECB’s definition of price stability. Nonetheless, there is scope for enhancing the HICP … replacement and quality adjustment. Such measures may also help reduce the measurement bias that still exists in the HICP. Overall …

The standard measure of core or underlying inflation is the inflation rate excluding food and energy prices. This paper … constructs an alternative measure, the weighted median inflation rate, for 38 advanced and emerging economies using subclass …, and more closely related to headline inflation over the next year. The weighted median also has a drawback: in most …

policy credibility. The concept and measurement of core inflation has an important role to play both in the formulation of …Over the last decade central banks have tended to accord increased importance to controlling inflation and fostering … policy aimed at controlling inflation and in providing policy accountability. In practice, however, the concept of core …

The standard measure of core or underlying inflation is the inflation rate excluding food and energy prices. This paper … constructs an alternative measure, the weighted median inflation rate, for 38 advanced and emerging economies using subclass …, and more closely related to headline inflation over the next year. The weighted median also has a drawback: in most …

Using frequency domain techniques to separate short and long run dynamics and decomposing inflation into its common and … idiosyncratic components, we study the regime dependence of the inflation-RPV relation in Argentina and the USA. Under High … inflation, strong long-run comovement between RPV and Inflation is found for both economies, that extends to the short run …

also by policy stabilization efforts based on relative price adjustments. - inflation ; frequency domain analysis ; regime …Using frequency domain techniques to separate short and long run dynamics and decomposing inflation into its common and … idiosyncratic components, we study the regime dependence of the inflation-RPV relation in Argentina and the USA. Under High …

Empirical evidence on the distribution of relative price changes almost invariably reveals high kurtosis and a tendency …, robust measures of central tendency are likely to outperform the mean or standard measures of core inflation as indicators of … generalized inflation. The analysis also supports the use of geometric averaging in CPI construction and the targeting of the …