Selling price expectations of firms ‒ evidence from the SAFE

Annalisa Ferrando, Asger Munch Grønlund and Judit Rariga

Economic Bulletin Boxes, 2023, vol. 4

Abstract: According to the recent Survey on the Access to Finance of Enterprises (SAFE), conducted between 6 March and 14 April 2023, euro area firms expect their selling prices to increase on average by 6.1% over the next 12 months. Selling price increases are expected to be higher for firms in the retail sector than for those in the non-retail sector. Input costs (mainly related to materials and energy) and financing costs are important factors for all firms when setting future selling prices. For firms in both the retail and non-retail sectors, expected increases in selling prices are higher for firms that anticipate an increase in their turnover. Manufacturing firms with higher past producer price increases expect a smaller increase in future selling prices over the next 12 months. JEL Classification: D22, D84, E52

Keywords: expectations; selling prices; survey data (search for similar items in EconPapers)
Date: 2023-06
Note: 235236
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