2010
DOI: 10.1007/s10290-010-0053-y
|View full text |Cite
|
Sign up to set email alerts
|

Euro area inflation: aggregation bias and convergence

Abstract: Monetary policy of the European Monetary Union targets aggregate euro area inflation. Concerns are growing that a focus on aggregate inflation may cause national inflation rates to diverge. While different explanations for diverging aggregate euro area inflation have been brought forward, the very impact of aggregation on divergence has, however, not been studied. We find a striking difference in convergence depending on the level of aggregation. While aggregate national inflation rates are diverging, disaggre… Show more

Help me understand this report

Search citation statements

Order By: Relevance

Paper Sections

Select...
2
1
1

Citation Types

1
7
0

Year Published

2012
2012
2022
2022

Publication Types

Select...
5

Relationship

0
5

Authors

Journals

citations
Cited by 5 publications
(8 citation statements)
references
References 45 publications
(103 reference statements)
1
7
0
Order By: Relevance
“…It was the most remarkable in Germany, which should be linked to the nation's expansive fiscal policy that was a consequence of its reunification. In the remaining member states of the then EU prices remained similar or fell (Byrne et al, 2010;Gros et al, 201;Lopez et al, 2012;Meller et al, 2012;Castañeda et al, 2017).…”
Section: The Inflationary Processes In the Euro Areamentioning
confidence: 99%
See 3 more Smart Citations
“…It was the most remarkable in Germany, which should be linked to the nation's expansive fiscal policy that was a consequence of its reunification. In the remaining member states of the then EU prices remained similar or fell (Byrne et al, 2010;Gros et al, 201;Lopez et al, 2012;Meller et al, 2012;Castañeda et al, 2017).…”
Section: The Inflationary Processes In the Euro Areamentioning
confidence: 99%
“…The growing price divergence in the euro area member states caused the lower and lower adequacy of the interest rate set by the ECB (Byrne et al, 2010). For the countries with an above-average increase in prices, the interest rate was too low, which was an additional factor stimulating inflationary processes.…”
Section: The Inflationary Processes In the Euro Areamentioning
confidence: 99%
See 2 more Smart Citations
“…. In terms of methodology applied,Byrne and Fiess (2010) come closest to our analysis. Overall inflation differentials are found to be quite persistent Altissimo et al (2009).…”
mentioning
confidence: 99%