affected temporarily. Inflation forecasts made by Eurosystem/ECB staff perform similarly or slightly better than those from our …

standard OLS VAR and Bayesian VAR models, in forecasting inflation in Bosnia and Herzegovina. Although the presented models are … small and highly aggregated, they provide a convenient framework to illustrate practical forecast issues. Furthermore, they … are a good starting point in the process of the forecast development. The empirical part of this paper estimates the …