This report investigates how the EU should deal with shockflation - inflation unleashed by shocks to systemically … this kind of inflation. Therefore, the EU currently lacks adequate governance structures. The EU should develop a new … inflation governance framework that targets shocks to systemically significant prices directly, before they are propagated …

This report focuses on the implications of the changed inflation environment for the ECB's monetary policy strategy … (ELB), the inflation surge that followed the COVID-19 pandemic underscores the importance of a monetary policy strategy …, including the lessons learned from both the low inflation and high inflation periods, and the transition from one to the other …

Under the stress test of the inflation process, the two central banks' stances across the Atlantic share similarities … but show also significant differences. Similarities and differences are reflected also in inflation dynamics in the US and … the euro area. Differences are mainly due to the mix of factors that originated the take-off of inflation, some structural …

economies, making its regional inflation dynamics globally instructive for monetary policy design. This study investigates Lima …'s suitability as Peru's inflation-targeting anchor by analyzing regional spillovers across nine economic regions using monthly CPI … the direction, magnitude, and persistence of inflation transmission. Results reveal strong regional interdependence (73 …

its impact on inflation expectations (sticky inflation). Optimal monetary policy may allow low real interest rates after … policy will temporarily aid debt sustainability through a temporary burst in inflation. The anticipation of a possible reform … links debt levels with inflation expectations. As a result, interest rates have two effects: they influence demand and …

We study how heterogeneous attention to inflation across households affects the transmission of monetary policy. Using … household-level surveys for the US and Australia, we first show that households' attention to inflation varies across income … levels. Specifically, we find that high-income households pay more attention to inflation than other income groups. To …

The EMU accession countries are obliged to fulfill the Maastricht convergence criteria prior to entering the EMU. This … convergence criteria modify optimal monetary policy in an economy facing domestic and external shocks? First, we derive the micro … criteria. We find that the optimal monetary policy should not only target inflation rates in the domestic sectors and aggregate …