We investigate the effects of aging on inflation through the labour market. More specifically, we question whether the weakness of wage inflation over the last decade reflects, at least partially, the increase of labour supply by baby boomers.The post 2013 recovery of advanced economies has not...

Why is wage inflation so weak in spite of the recent sharp reduction in unemployment? We show that this may be due to an ongoing change in the composition of the labor supply. Indeed, the participation rate of workers aged between 55 and 64 has increased steadily over the last decade, from a...

Low and unresponsive inflation has been termed a “puzzle.” The paper describes a formula for which these conditions have been a prediction since early 2016.The Money Value Formula analyzes the unit value of a currency solely as a function of long lags of monetary aggregates. The Formula...

This paper examines the relationship between the output gap and inflation in Japan by estimating Phillips curves and testing for changes since the advent of low inflation and/or the stabilisation of the rate of change of inflation. The work provides empirical support for the hypothesis of a...

Although the target of monetary policy is clear, there have been suggestions that the conduct of monetary policy is improved by monitoring "trimmed mean" inflation rates, the mean of some central portion of the distribution of price changes. This paper assesses critically the theoretical and...