Mignon, Valérie; López-Villavicencio, Antonia - EconomiX, Université Paris Ouest-Nanterre la Défense … - 2013
Relying on the backward-looking Phillips curve, we estimate the level of inflation that erodes price rigidity and investigate its time constancy. To this end, we employ smooth transition regression models with rolling regressions to account for varying threshold inflation levels. Studying six...