Poghosyan, Karen; Poghosyan, Ruben - In: Journal of central banking theory and practice 11 (2022) 2, pp. 165-186
In this paper, we use index number theory to decompose changes in total interest rate due to changes in the interest rate component and the weight component. We discuss the optimal calculation of a binary index using axiomatic index number theory. Based on this theory we compare alternative...