inflation stability and whether, in the presence of financial frictions, the optimal outcome can be realized or approached more … inflation targeting cum exchange rate stabilization and a price-level targeting are more suitable rules in minimizing …

Inflation rates in the euro area have reached historic highs due in large part to high energy prices. As the euro area … is a net importer of energy, one refers to this inflation as imported inflation. There is a danger that these high … inflation rates will become entrenched in inflation expectations. This would not only imply that high inflation rates will …

Whereas strong demand is a key factor driving high inflation in the US, inflation in the Euro Area is mainly due to … prevent second-round effects. Long run inflation expectations — as measured by the survey of professional forecasters — still … seem to be well anchored. The ECB's announced tightening intends to dampen rising household's inflation expectations. Given …

compensate resulting losses of purchasing power only prolong the inflationary phase. Anchored inflation expectations are key to … keeping the inflation process temporary. While this clearly falls under the responsibility of the monetary authorities, fiscal …

This paper shows that there is a very large difference between the official measured inflation rate with its basket of … 650 types of goods and perceived inflation in Germany. While the inflation rate in Germany was 10.0% in September 2022 and … 10.4% in October, a nationwide survey revealed that respondents perceived inflation to be 34.15%. At the same time, the …