This paper quantifies the effect of the rising share of imports from emerging market economies (EMEs) on import price inflation in the United Kingdom. It does so using a panel regression approach that accounts for heterogeneity across industries. The key finding is that the rise in China’s...

This paper examines labour supply adjustment – both hours worked and participation decisions. The analysis focuses on the response of each to financial shocks, employing data from the British Household Panel Survey. Results suggest that employees whose financial situation deteriorates relative...

In this paper, the Kalman filter method is applied to UK Phillips-curve models and estimates are derived for the NAIRU from 1973 to 2000. The resulting profiles suggest that the NAIRU peaked around the mid-1980s and fell back thereafter. Structural changes in the labour market have reduced...