n this paper the long-run trend in CPI inflation (core inflation) for Italy is estimated over the 1962-1997 period. The estimates obtained with the Quah and Vahey (1995) bivariate structural VAR methodology and with a multivariate common trends model are compared. The results show the potential...

In this paper the long-run trend in RPI inflation (core inflation) for the UK over the 1961-1997 period is estimated within the framework of a multivariate common trends model which extends the bivariate VAR approach of Quah and Vahey (1995). In this context core inflation is directly linked to...

In this paper the long-run trend in CPI inflation (core inflation) for the US over the 1960-2000 period is estimated using a common trends model. In this framework, core inflation is interpreted and constructed as the long-run forecast of inflation conditional on the information contained in...