Search Results - subject:"Inflation expectations"

Sticky inflation : monetary policy when debt drags inflation expectations

Bigio, Saki; Caramp, Nicolas; Silva, Dejanir - 2024

links debt levels with inflation expectations. As a result, interest rates have two effects: they influence demand and … its impact on inflation expectations (sticky inflation). Optimal monetary policy may allow low real interest rates after …

Persistent link: https://www.econbiz.de/10015125460

How food prices shape inflation expectations and the monetary policy response

Bonciani, Dario; Masolo, Riccardo; Sarpietro, Silvia - 2024

We show that food price changes have a persistent impact on UK consumers' inflation expectations. Over 60% of … between their inflation expectations and perceptions. In other words, households emphasising the importance of food prices … tend to have more backward-looking inflation expectations. We complement this finding with a Structural Vector …

Persistent link: https://www.econbiz.de/10015115055

Inflation expectations and economic preferences

Dräger, Lena; Floto, Maximilian; Schröder, Marina - 2024

We provide evidence for an expectation gap, where risk-averse as well as impatient households and experts provide significantly higher prior inflation forecasts. Using a survey randomized control trial (RCT), we can show that information about inflation forecasts closes this expectations gap....

Persistent link: https://www.econbiz.de/10015061147