Expectations' anchoring and inflation persistence
نویسندگان
چکیده
Understanding the sources of inflation persistence is crucial for monetary policy. This paper provides an assessment influence expectations' anchoring on inflation. We construct index using survey-based forecasts 45 economies since 1989. then study response consumer prices to terms-of-trade shocks and find that these have a significant persistent effect price when expectations are poorly anchored. By contrast, reacts by less returns quickly its pre-shock level strongly
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ژورنال
عنوان ژورنال: Journal of International Economics
سال: 2021
ISSN: ['0022-1996', '1873-0353']
DOI: https://doi.org/10.1016/j.jinteco.2021.103516