Camatte, Hadrien; Daudin, Guillaume; Faubert, Violaine; … - 2021
We analyse the elasticity of the household consumption expenditure (HCE) deflator to the exchange rate, using world …-weighted elasticity of around 0.1. This elasticity is stable over time but heterogeneous across countries, ranging from 0.05 to 0.22. Such … with a lag of several years, we extrapolate a reliable estimate of the HCE deflator elasticity from 2015 onwards using …