IDEAS home Printed from https://ideas.repec.org/a/ces/ifosdt/v70y2017i05p22-26.html
   My bibliography  Save this article

Current Consumer Price Development in the Euroarea

Author

Listed:
  • Wolfgang Nierhaus

Abstract

The Statistical Office of the European Union publishes the inflation rate for the euro area monthly. The disinflationary trend in the EMU observed in recent years has been largely determined by a negative output gap and a decline in crude oil prices. In addition, price pressure, which had previously been the result of administered price increases in the EMU, fell sharply. Finally, the influence of indirect taxes on the consumer price level has also declined significantly. In January 2017, the inflation rate in the euro area stood at 1.8% and for the first time was just below the target of the ECB. This was primarily due to the rise in crude oil prices and the depreciation of the euro against the US dollar. In addition, prices for industrial goods (excluding energy) and processed foodstuffs have risen appreciably, and prices for unprocessed food have increased by 3.5 percent.

Suggested Citation

  • Wolfgang Nierhaus, 2017. "Current Consumer Price Development in the Euroarea," ifo Schnelldienst, ifo Institute - Leibniz Institute for Economic Research at the University of Munich, vol. 70(05), pages 22-26, March.
    • Handle: RePEc:ces:ifosdt:v:70:y:2017:i:05:p:22-26
    as

    Download full text from publisher

    File URL: https://www.ifo.de/DocDL/sd-2017-05-nierhaus-administrierte-preise-2017-03-09.pdf
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Diaz-Roldan & Carmelo Monteagudo-Cuerva, 2013. "Fiscal policy under alternative monetary policy regimes," Business and Economic Horizons (BEH), Prague Development Center, vol. 9(2), pages 1-9, July.
    2. ., 2013. "The role of monetary policy," Chapters, in: Global Finance After the Crisis, chapter 4, pages 71-106, Edward Elgar Publishing.
    3. Wolfgang Nierhaus, 2006. "Harmonised consumer price indices - on inflation measurement in Europe," ifo Schnelldienst, ifo Institute - Leibniz Institute for Economic Research at the University of Munich, vol. 59(06), pages 11-16, March.
    4. Atanas Hristov, 2016. "Measuring the Natural Rate of Interest in the Eurozone: A DSGE Perspective," CESifo Forum, ifo Institute - Leibniz Institute for Economic Research at the University of Munich, vol. 17(01), pages 86-91, April.
    5. Nierhaus. Wolfgang, 2016. "How Administered Prices and Indirect Taxation Contribute to Inflation in the Euro Area: Latest Results," ifo Schnelldienst, ifo Institute - Leibniz Institute for Economic Research at the University of Munich, vol. 69(05), pages 28-32, March.
    6. Robert Lehmann & Timo Wollmershäuser, 2017. "Inflation is Returning! More and More Firms in Germany Plan to Increase Prices," ifo Schnelldienst, ifo Institute - Leibniz Institute for Economic Research at the University of Munich, vol. 70(05), pages 16-21, March.
    7. ., 2013. "Fiscal, monetary, and exchange rate policy," Chapters, in: The Political Economy of Iraq, chapter 13, pages 247-266, Edward Elgar Publishing.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Nierhaus. Wolfgang, 2016. "How Administered Prices and Indirect Taxation Contribute to Inflation in the Euro Area: Latest Results," ifo Schnelldienst, ifo Institute - Leibniz Institute for Economic Research at the University of Munich, vol. 69(05), pages 28-32, March.
    2. Benes, Jaromir & Kumhof, Michael, 2015. "Risky bank lending and countercyclical capital buffers," Journal of Economic Dynamics and Control, Elsevier, vol. 58(C), pages 58-80.
    3. Simatele, Munacinga & Sjö, Bo & Sweeny, Richard, 2016. "Do Developing Countries Lose Money on Central Bank Intervention? The Case of Zambia in Copper-Market Boom and Bust," LiU Working Papers in Economics 2, Linköping University, Division of Economics, Department of Management and Engineering.
    4. Linnemann, Ludger & Schabert, Andreas, 2015. "Liquidity premia and interest rate parity," Journal of International Economics, Elsevier, vol. 97(1), pages 178-192.
    5. Mattesini, Fabrizio & Nosal, Ed, 2016. "Liquidity and asset prices in a monetary model with OTC asset markets," Journal of Economic Theory, Elsevier, vol. 164(C), pages 187-217.
    6. Carvallo, Oscar & Pagliacci, Carolina, 2016. "Macroeconomic shocks, bank stability and the housing market in Venezuela," Emerging Markets Review, Elsevier, vol. 26(C), pages 174-196.
    7. Jason Potts, 2017. "Institutions hold consumption on a leash: an evolutionary economic approach to the future of consumption," Journal of Evolutionary Economics, Springer, vol. 27(2), pages 239-250, April.
    8. Iwan Sukarno & Hiroshi Matsumoto & Lusi Susanti & Ryushi Kimura, 2015. "Urban Energy Consumption in a City of Indonesia: General Overview," International Journal of Energy Economics and Policy, Econjournals, vol. 5(1), pages 360-373.
    9. Mac an Bhaird, Ciarán & Vidal, Javier Sanchez & Lucey, Brian, 2016. "Discouraged borrowers: Evidence for Eurozone SMEs," Journal of International Financial Markets, Institutions and Money, Elsevier, vol. 44(C), pages 46-55.
    10. Neri, Stefano & Gerali, Andrea, 2019. "Natural rates across the Atlantic," Journal of Macroeconomics, Elsevier, vol. 62(C).
    11. Bokan, N. & Gerali, A. & Gomes, S. & Jacquinot, P. & Pisani, M., 2018. "EAGLE-FLI: A macroeconomic model of banking and financial interdependence in the euro area," Economic Modelling, Elsevier, vol. 69(C), pages 249-280.
    12. David Cook & Michael B Devereux, 2019. "Fiscal Policy in a Currency Union at the Zero Lower Bound," Journal of Money, Credit and Banking, Blackwell Publishing, vol. 51(S1), pages 43-82, December.
    13. Robert Lehmann, 2023. "The Forecasting Power of the ifo Business Survey," Journal of Business Cycle Research, Springer;Centre for International Research on Economic Tendency Surveys (CIRET), vol. 19(1), pages 43-94, March.
    14. Dilian Vassilev, 2021. "A Model of Natural Interest Rate: The Case of Bulgaria," Economic Studies journal, Bulgarian Academy of Sciences - Economic Research Institute, issue 7, pages 46-72.
    15. Stefan Sauer & Klaus Wohlrabe, 2020. "ifo Handbuch der Konjunkturumfragen," ifo Beiträge zur Wirtschaftsforschung, ifo Institute - Leibniz Institute for Economic Research at the University of Munich, number 88.
    16. Engler, Philipp & Große Steffen, Christoph, 2016. "Sovereign risk, interbank freezes, and aggregate fluctuations," European Economic Review, Elsevier, vol. 87(C), pages 34-61.
    17. Brand, Claus & Mazelis, Falk, 2019. "Taylor-rule consistent estimates of the natural rate of interest," Working Paper Series 2257, European Central Bank.
    18. Klaus Wohlrabe & Timo Wollmershäuser, 2017. "Constructing an Aggregate ifo Capacity Utilisation," ifo Schnelldienst, ifo Institute - Leibniz Institute for Economic Research at the University of Munich, vol. 70(15), pages 26-30, August.
    19. Zarazúa Juárez, Carlos Alberto, 2023. "Understanding the natural rate of interest for a small open economy," Latin American Journal of Central Banking (previously Monetaria), Elsevier, vol. 4(3).
    20. Karl‐Friedrich Israel & Gunther Schnabl, 2024. "Alternative measures of price inflation and the perception of real income in Germany," The World Economy, Wiley Blackwell, vol. 47(2), pages 618-636, February.

    More about this item

    JEL classification:

    • E31 - Macroeconomics and Monetary Economics - - Prices, Business Fluctuations, and Cycles - - - Price Level; Inflation; Deflation
    • D40 - Microeconomics - - Market Structure, Pricing, and Design - - - General

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:ces:ifosdt:v:70:y:2017:i:05:p:22-26. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Klaus Wohlrabe (email available below). General contact details of provider: https://edirc.repec.org/data/ifooode.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.