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Finding Optimal Measures of Core Inflation in the Kyrgyz Republic

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Author Info
Uzagalieva Ainura ()
Abstract

The ideal measure of inflation reflects long-run price movements driven by actual demand in the economy and excludes short-term supply shocks. Considering that CPI does not correspond to such a measure, the purpose of this research is to analyze alternative methods of core (or underlying) inflation and to determine the efficient measure of core inflation suitable for the Kyrgyz Republic. The results of the project are intended for the National Bank of the Kyrgyz Republic (for proper monetary policy reaction to inflationary shifts), the Ministry of Finance (for budget forecasting), for the National Statistics Committee (the concept of core inflation does not yet exist in the Kyrgyz economic reporting system).

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Publisher Info
Paper provided by EERC Research Network, Russia and CIS in its series EERC Working Paper Series with number 04-01e.

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Length: 37 pages
Date of creation: 10 Jan 2004
Date of revision:
Handle: RePEc:eer:wpalle:04-01e

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Related research
Keywords: Kyrgyz Republic inflation core inflation monetary policy smoothing optimality criteria

Find related papers by JEL classification:
E31 - Macroeconomics and Monetary Economics - - Prices, Business Fluctuations, and Cycles - - - Price Level; Inflation; Deflation
E52 - Macroeconomics and Monetary Economics - - Monetary Policy, Central Banking, and the Supply of Money and Credit - - - Monetary Policy

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