Sinn, Hans-Werner; Reutter, Michael - 2021
no country face a deflation. This minimum aggeragate inflation rate is 0.94% in the euro-11 countries and 1.13% in an …As a result of the Balassa effect relative prices change rapidly between and within the euro countries. Thus it is … the Balassa model, the paper calculates a minimum aggregate inflation rate which is compatible with the requirement that …