We introduce the German Business Panel (GBP), a novel large-scale survey of German firms. The GBP periodically surveys executives and key decision-makers in a representative sample of German firms, taking stock of their perceptions, views, and expectations. A particular focus of the survey is on...

Using a randomized survey experiment, we investigate how firms’ inflation expectations shape their price setting. We establish that firms fully pass through inflation expectations to prices in times of high inflation, consistent with Calvo pricing. When informed about central bank inflation...