the interaction between partial indexation and trend inflation. We show that using a hybrid version of the Phillips curve … partly decreases the risks of overestimate due to the omission of trend inflation. We also provide new evidence on the fit of …) forgetting trend inflation induces overestimating by approximately 3-4 percent of the probability to not change the price, for …

This paper provides a summary of current knowledge on inflation persistence and price stickiness in the euro area …, based on research findings that have been produced in the context of the Inflation Persistence Network. The main findings … are: i) Under the current monetary policy regime, the estimated degree of inflation persistence in the euro area is …

We find strong econometric support for a break in the relationship between perceived and HICP inflation in the euro …

inflation differ over time. We show that the impact varies considerably over time, depends on the source of increased liquidity … (M1, M3-M1 or credit) and the underlying state of the economy (asset price boom-bust, business cycle, inflation cycle …

This paper reviews recent approaches to modeling the labour market, and assesses their implications for inflation … volatile inflation. Models with wage stickiness and right-to-manage bargaining or with firm-specific labour emerge as the most …

Using daily data stemming from inflation-indexed markets, we analyse the effects of numerous macroeconomic surprises on … inflation compensation data - the sum of inflation expectations, risk and liquidity premia - in the euro area between 2 January … 2004 and 31 December 2007. Our results suggest that when gauging short and medium-term inflation compensations, market …

This paper estimates a time-varying AR-GARCH model of inflation producing measures of inflation uncertainty for the … change associated with the start of EMU in 1999. The main findings are as follows. Steadystate inflation and inflation … can achieve lower inflation uncertainty by lowering the inflation rate …

In this paper we report results on inflation persistence using 79 inflation series covering the EU countries, the euro … area and the US for five different inflation variables. The picture that emerges is one of moderate inflation persistence … across the board. In particular we find euro area inflation persistence to be broadly in line with US inflation persistence …

We study the behavior of inflation rates among the 12 initial Euro countries in order to test whether and when the … this new procedure to Euro area inflation, we find strong and lasting evidence of convergence among the inflation rates … the occurrence of the single currency. After the 2008 crisis, Euro area inflation rates follow the ECB's price stability …

This paper analyzes euro area and U.S. inflation dynamics since the beginning of the 1990s by estimating New Keynesian … hybrid Phillips curves with time-varying parameters. We measure inflation expectations by subjective forecasts from Consensus … results indicate that in both economic areas the inflation dynamics have steadily become more forward-looking over time. We …