La crise du coût de la vie dans la zone euro: quels enseignements ?

Helene Schuberth

Revue d'économie financière, 2024, vol. N° 153, issue 1, 85-98

Abstract: Five narratives haven't framed the perception and assessment of Europe's cost of living crisis: monetary policy has mainly been deemed as the best means to get inflation back on target. Policymakers should refrain from direct price control measures, in particular in the energy sector, otherwise they risk distorting resource allocation. Views about the fundamental drivers of inflation have shifted between excessive profit and wage claims, with the dominating concern ultimately becoming the risk of a wage price spiral. European economies, which are net energy importers, were hit by a negative terms-of-trade shock, requiring an income-distribution neutral orientation for wages on the GDP deflator instead of the CPI, which includes imported goods. Finally, policy should focus on supporting low-income households. However, in some countries establishment macroeconomics thinking prevented strategic price controls and measures to prohibit price gouging from being taken. JEL classification: E24, E31, E64.

JEL-codes: E24 E31 E64 (search for similar items in EconPapers)
Date: 2024
References: Add references at CitEc
Citations:

Downloads: (external link)
http://www.cairn.info/load_pdf.php?ID_ARTICLE=ECOFI_153_0085 (application/pdf)
http://www.cairn.info/revue-d-economie-financiere-2024-1-page-85.htm (text/html)
restricted

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:cai:refaef:ecofi_153_0085

Access Statistics for this article

More articles in Revue d'économie financière from Association d'économie financière
Bibliographic data for series maintained by Jean-Baptiste de Vathaire ().