Search Results - subject:"Inflation persistence"

Price setting in France: new evidence from survey data

Loupias, Claire; Ricart, Roland - European Central Bank - 2004

This paper reports the results of a survey conducted by the Banque de France during Winter 2003-2004 to investigate the price-setting behavior of French manufacturing companies. Prices are found to adjust infrequently; the median firm modifies its price only once a year. Price reviews are more...

Persistent link: https://www.econbiz.de/10005816214

Has euro-area inflation persistence changed over time?

O'Reilly, Gerard; Whelan, Karl - European Central Bank - 2004

This paper analyzes the stability over time of the econometric process for Euro-area inflation since 1970, focusing in particular on the behaviour of the so-called persistence parameter (the sum of the coefficients on the lagged dependent variables). Perhaps surprisingly, in light of the Lucas...

Persistent link: https://www.econbiz.de/10005816324

Inflation persistence: facts or artefacts?

Robalo Marques, Carlos - European Central Bank - 2004

This paper addresses some issues concerning the definition and measurement of inflation persistence in the context of …-parametric measure of persistence is suggested which explores the relation between persistence and mean reversion. Third, inflation … persistence in the U.S. and the Euro Area is re-evaluated allowing for a time varying mean and it is found that estimates of …

Persistent link: https://www.econbiz.de/10005227557

Staggered price contracts and inflation persistence: some general results

Whelan, Karl - European Central Bank - 2004

Despite their popularity as theoretical tools for illustrating the effects of nominal rigidities, some have questioned whether models based on Taylor-style staggered contracts can match the persistence of the empirical inflation process. This paper presents some general theoretical results about...

Persistent link: https://www.econbiz.de/10005162921

Identifying the influences of nominal and real rigidities in aggregate price-setting behavior

Coenen, Günter; Levin, Andrew T. - European Central Bank - 2004

We formulate a generalized price-setting framework that incorporates staggered contracts of multiple durations and that enables us to directly identify the influences of nominal vs. real rigidities. Using German macroeconomic data over the period 1975Q1 through 1998Q4 toestimate this framework,...

Persistent link: https://www.econbiz.de/10005162923

The pricing behaviour of Italian firms: new survey evidence on price stickiness

Fabiani, Silvia; Gattulli, Angela; Sabbatini, Roberto - Banca d'Italia - 2004

This study examines price setting behaviour of Italian firms on the basis of the results of a survey conducted by Banca dï¿½Italia in early 2003 on a sample of around 350 firms belonging to all economic sectors. Prices are mostly fixed following standard mark-up rules, although...

Persistent link: https://www.econbiz.de/10005113548

A Small Estimated Euro Area Model with Rational Expectations and Nominal Rigidities

Coenen, Guenter; Wieland, Volker - 2003

reject the nominal contracting model in favor of the relative contracting model which induces more inflation persistence, we …

Persistent link: https://www.econbiz.de/10010311984

Learning to Forecast and Cyclical Behavior of Output and Inflation

Adam, Klaus - 2003

This paper considers a sticky price model with a cash-in-advance constraint where agents forecast inflation rates with the help of econometric models. Agents use least squares learning to estimate two competing models of which one is consistent with rational expectations once learning is...

Persistent link: https://www.econbiz.de/10010311996

Inflation persistence and robust monetary policy design

Coenen, Günter - 2003

Persistent link: https://www.econbiz.de/10011604336

Central Bank Independence, Speed of Disinflation and the Sacrifice Ratio.

Diana, Giuseppe; Sidiropoulos, Moise - Bureau d'Économie Théorique et Appliquée (BETA), … - 2003

This paper examines the impact of central bank independence on inflation persistence. Our theoretical analysis predicts … that a higher degree of central bank independence leads to a lower inflation persistence and therefore to a higher speed of … related to the degree of inflation persistence. In addition, as there is a positive correlation between inflation persistence …

Persistent link: https://www.econbiz.de/10005422868