The New Keynesian Phillips curve explains inflation dynamics as being driven by current and expected future real … remains significant, and that inflation dynamics are mainly driven by the forward-looking component. Bayesian estimation of …

This paper analyzes the effects of different labor market institutions on inflation and output volatility. The eurozone … and inflation volatility ; labor turnover costs ; unemployment benefits ; unemployment ; eurozone … theory. While labor market institutions have a large effect on output volatility, they do not seem to have much of an effect …

In the early months of the COVID-19 pandemic, inflation fell. Later, as the pandemic wore on, inflation has risen … sharply, reaching a 40-year high. To explain the dynamics of inflation, we augment the standard labor search and matching … inflation rate is strongly tied to the behavior of vacancies and labor market tightness. This pattern is observed in European …

benefits, on inflation volatility. With this purpose, we build a New Keynesian model with search and matching frictions in the … inflation in response to shocks, by affecting the volatility of the three components of real marginal costs (hiring costs … inflation volatility, due to the small impact of changes in the volatility of the labor market on inflation dynamics …

Recession: a decline in productivity growth, the relative stability of inflation despite a pronounced fall in output (the …

(2012) estimated on euro area data. It investigates to what extent forecasts of inflation, GDP growth and unemployment by …