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Inflation concern, attention and central bank trust

Author

Listed:
  • Guillochon, Justine
  • Ellen, Saskia ter

Abstract

Using individual-level data on trust in the European Central Bank, we study the association between inflation and the public’s trust in the ECB. We find that inflation concern is important for understanding the link between inflation and central bank trust. Inflation is not directly linked to the public trust in the ECB but rather associated to it indirectly when it becomes a concern for survey respondents. We show that the public’s inflation concern, although related to inflation attention, is only partly explained by it and is also a function of realized inflation.

Suggested Citation

  • Guillochon, Justine & Ellen, Saskia ter, 2025. "Inflation concern, attention and central bank trust," Journal of Economic Behavior & Organization, Elsevier, vol. 239(C).
    • Handle: RePEc:eee:jeborg:v:239:y:2025:i:c:s0167268125003877
    DOI: 10.1016/j.jebo.2025.107268
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    Keywords

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    JEL classification:

    • E52 - Macroeconomics and Monetary Economics - - Monetary Policy, Central Banking, and the Supply of Money and Credit - - - Monetary Policy
    • E58 - Macroeconomics and Monetary Economics - - Monetary Policy, Central Banking, and the Supply of Money and Credit - - - Central Banks and Their Policies
    • D83 - Microeconomics - - Information, Knowledge, and Uncertainty - - - Search; Learning; Information and Knowledge; Communication; Belief; Unawareness
    • D84 - Microeconomics - - Information, Knowledge, and Uncertainty - - - Expectations; Speculations

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