Inflation Expectations and Spending: Evidence from an Experiment and Bank Transaction Data in Japan

Kozo Ueda

No 24-021E, CIGS Working Paper Series from The Canon Institute for Global Studies

Abstract: This study investigates whether information provision on inflation influences household inflation expectations and actual spending in Japan. Using a randomized controlled trial with approximately 2,500 bank account holders, I find that information provision significantly shapes inflation expectations, with respondents adjusting their expectations in line with the information received. However, this adjustment in expectations does not translate into changes in actual spending behavior, as observed through outflow transactions. These findings underscore the challenge of managing inflation expectations.

Pages: 54
Date: 2024-10
New Economics Papers: this item is included in nep-ban, nep-exp and nep-mon
References: View references in EconPapers View complete reference list from CitEc
Citations:

Downloads: (external link)
https://cigs.canon/en/uploads/2024/10/WP24-021E_ueda.pdf (application/pdf)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:cnn:wpaper:24-021e

Access Statistics for this paper

More papers in CIGS Working Paper Series from The Canon Institute for Global Studies Contact information at EDIRC.
Bibliographic data for series maintained by The Canon Institute for Global Studies (web@canon-igs.org).