A statistically significant relationship between the unemployment gap and inflation can be found for a clear majority … slack on inflation can often be dominated by other shocks, including imported inflation. The current Secretariat Phillips … curve specification assumes inflation expectations are anchored at the central bank’s target, although some experimentation …

Inflation has become much less sensitive to movements in unemployment in recent decades. A common explanation for this … change is that inflation expectations have become better anchored as a consequence of credible inflation targeting by central … traditional ‘backward-looking’ Phillips curve, where current inflation is partly explained by an autoregressive distributed lag …

This paper explores the Economic Theory of Inflation, meticulously progressing from fundamental concepts to intricate …. Key findings elucidate the multifaceted nature of inflation, considering Demand-Pull, Cost-Push, and Phillips Curve … inflation dynamics and expectations. The paper culminates by addressing the imperative of effective economic management …

Inflation (PCCI), a measure of underlying inflation in the euro area. The PCCI reflects the view that underlying inflation … component of inflation. Methodologically, it relies on a generalised dynamic factor model estimated on a large set of … disaggregated HICP inflation rates for 12 euro area countries. For each individual inflation rate, we estimate a low …

(HICP) inflation and average HICP inflation in the euro area. Conversely, relative wage growth differentials across euro … individual euro area countries - largely reflecting inflation persistence and certain institutional factors - might also have …