Search Results - subject:"Inflation persistence"

Can the Facts of UK Inflation Persistence be Explained by Nominal Rigidity?

Meenagh, David; Minford, Patrick; Nowell, Eric; Sofat, … - C.E.P.R. Discussion Papers - 2008

It has been widely argued that inflation persistence since WWII has been widespread and durable and that it can only be …

Persistent link: https://www.econbiz.de/10005792133

Inflation dynamics: A structural econometric analysis

Galí, Jordi; Gertler, Mark - Department of Economics and Business, Universitat … - 1998

We develop and estimate a structural model of inflation that allows for a fraction of firms that use a backward looking rule to set prices. The model nests the purely forward looking New Keynesian Phillips curve as a particular case. We use measures of marginal costs as the relevant determinant...

Persistent link: https://www.econbiz.de/10005772538

Euro Area Inflation Persistence in an Estimated Nonlinear DSGE Model

Amisano, Giovanni; Tristani, Oreste - C.E.P.R. Discussion Papers - 2007

We estimate the approximate nonlinear solution of a small DSGE model on euro area data, using the conditional particle filter to compute the model likelihood. Our results are consistent with previous findings, based on simulated data, suggesting that this approach delivers sharper inference...

Persistent link: https://www.econbiz.de/10005067383

Aggregating Phillips Curves

Imbs, Jean; Jondeau, Eric; Pelgrin, Florian - C.E.P.R. Discussion Papers - 2007

The New Keynesian Phillips Curve is at the centre of two raging empirical debates. First, how can purely forward looking pricing account for the observed persistence in aggregate inflation. Second, price-setting responds to movements in marginal costs, which should therefore be the driving force...

Persistent link: https://www.econbiz.de/10005662190

Euro Area Inflation Differentials

Angeloni, Ignazio; Ehrmann, Michael - In: Topics in Macroeconomics 7 (2007) 1, pp. 1509-1509

third. Among the propagation mechanisms a key role is played by inflation persistence; for plausible parameter values even …

Persistent link: https://www.econbiz.de/10005579811

When Inflation Persistence Really Matters: Two examples

Kirsanova, Tatiana; Vines, David; Wren-Lewis, Simon - Institut für Weltwirtschaft (IfW) - 2007

In this paper we present two examples where the presence of inflation persistence could influence the qualitative … inflation persistence exists. In the second case the direction in which interest rates move following a cost push shock changes … when inflation persistence becomes important. In both cases, inflation persistence is central to the process influencing …

Persistent link: https://www.econbiz.de/10005818793

Endogenous Indexing and Monetary Policy Models

Mash, Richard - Institut für Weltwirtschaft (IfW) - 2007

Models in which firms use rules of thumb or partial indexing in their price setting have become prominent in the recent monetary policy literature. The extent to which these firms adjust their prices to lagged inflation has been taken as fixed. We consider the implications of firms choosing the...

Persistent link: https://www.econbiz.de/10005818884

Pitfalls in estimates of the relationship between stock returns and inflation

Madsen, Jakob - In: Empirical Economics 33 (2007) 1, pp. 1-21

Persistent link: https://www.econbiz.de/10005166653

Inflation, Employment and Interest Rates in an Economy with Endogenous Market Segmentation

Khan, Aubhik; Thomas, Julia K. - Society for Economic Dynamics - SED - 2006

Inflation, Employment and Interest Rates in an Economy with Endogenous Market Segmentation Aubhik Khan, Federal Reserve Bank of Philadelphia Julia K. Thomas, University of Minnesota We examine a monetary economy where households incur fixed transactions costs when exchanging bonds and money and,...

Persistent link: https://www.econbiz.de/10005069306

Structural Changes in the US Economy: Bad Luck or Bad Policy?

Canova, Fabio; Gambetti, Luca - C.E.P.R. Discussion Papers - 2006

rules in the 1970s and 1990s are similar as is the transmission of policy disturbances. Inflation persistence is only partly …

Persistent link: https://www.econbiz.de/10005791999