This paper considers a sticky price model with a cash-in-advance constraint where agents forecast inflation rates with …. While average output and inflation result the same as under rational expectations, higher moments differ substantially …: output and inflation show persistence, inflation responds sluggishly to nominal disturbances, and the dynamic correlations of …

and a smooth estimated trend. Based on output growth and inflation forecasts and a comparison to revised output gap …

estimated trend. Based on output growth and inflation forecasts and a comparison to revised output gap estimates from policy …

This study adopts the long-run structural VAR approach to analyse the determinants of inflation in the Euro Area … economy over the period 1985:1-2003:2. Theoretical relationships link inflation to markup and output gap, respectively. The … short-run dynamic properties of inflation are investigated using a structural VECM. Inflation is explained by a mixture of …

This paper considers inflation forecasting for a vast panel of countries. We combine the information from common … factors driving global inflation as well as country-specific inflation in order to build a set of different models. We also …

Consumer Price Index. We find that online price indices anticipate changes in official inflation trends more than one month in … only predict the contemporaneous inflation rate. Our baseline specification also outperforms statistical benchmark … States. Similarly, our quarterly forecast for the US inflation rate consistently outperforms the Survey of Professional …

The difficulty in modelling inflation and the significance in discovering the underlying data generating process of … inflation is expressed in an ample literature regarding inflation forecasting. In this paper we evaluate nonlinear machine … learning and econometric methodologies in forecasting the U.S. inflation based on autoregressive and structural models of the …

inflation. We find that sentiment indicators are competitive in providing inflation forecasts against a large set of common …

for Swedish inflation over the period 1980-2014. Three measures of inflation are considered –– headline inflation …, underlying inflation, GDP deflator inflation, in addition to different activity variables, various econometric specifications and … instability, in general, the Phillips curve models improve inflation forecasts against the random walk benchmark for both headline …