This paper studies exchange rate pass-through to food and energy consumer price inflation and its dependence on the … inflation environment using cross-country panel estimation of Phillips curves. It considers a large panel of OECD member and … inflation and also significant for food CPI inflation. A 10% depreciation in the exchange rate leads to an increase in energy …

ineffective. We can rationalize this result with a novel model about the credibility of cheap-talk messages. This credibility is … credibility and show, both theoretically and experimentally, an interaction effect of network structure and communication …

This study analyses the impact of economic catching-up on annual inflation rates in the European Union with a special … Balassa-Samuelson effect is not an important driver of inflation rates. By contrast, we find that the initial price level and … regulated prices strongly affect inflation outcomes in a nonlinear manner and that the extension of Engel's Law may hold during …

The paper analyses the reasons for Japan’s persistently low inflation since the bursting of the Japanese bubble economy … (low inflation conundrum). It is shown that Japan experienced a structural break from a high-growth period with relatively … high inflation to a low-growth period with exceptionally low inflation since the early 1990s. We show based on a stylized …

We develop an asset-pricing model with endogenous corporate policies that explains how inflation jointly impacts real … when inflation falls. An increase in inflation has opposite effects, but with smaller magnitudes. In the cross section, the … model predicts the negative impact of inflation on real equity values is stronger for low leverage firms. We find empirical …

This paper examines long-range dependence in the inflation rates of the G7 countries by estimating their (fractional …