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European Inflation Dynamics

Author Info

Listed author(s):
  • Jordi Galí
  • Mark Gertler
  • J. David López-Salido

Abstract

We provide evidence on the fit of the New Phillips Curve (NPC) for the Euro area over the period 1970-1998, and use it as a tool to compare the characteristics of European inflation dynamics with those observed in the U.S. We also analyse the factors underlying inflation inertia by examining the cyclical behavior of marginal costs, as well as that of its two main components, namely, labor productivity and real wages.

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File URL: http://www.bde.es/f/webbde/SES/Secciones/Publicaciones/PublicacionesSeriadas/DocumentosTrabajo/00/Fic/dt0020e.pdf
File Function: First version, 2000
Download Restriction: no

Paper provided by Banco de España & Working Papers Homepage in its series Working Papers with number 0020.

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Date of creation: 2000
Handle: RePEc:bde:wpaper:0020
Contact details of provider: Web page: http://www.bde.es/

Web page: http://www.bde.es/bde/en/secciones/informes/Publicaciones_se/docs/
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More information through EDIRC

Keywords: inflation; behaviour; costs;

Other versions of this item:

Find related papers by JEL classification:
  • O52 - Economic Development, Innovation, Technological Change, and Growth - - Economywide Country Studies - - - Europe
  • E31 - Macroeconomics and Monetary Economics - - Prices, Business Fluctuations, and Cycles - - - Price Level; Inflation; Deflation

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