Fast micro and slow macro: can aggregation explain the persistence of inflation?

Filippo Altissimo, Benoit Mojon and Paolo Zaffaroni

No WP-07-02, Working Paper Series from Federal Reserve Bank of Chicago

Abstract: An aggregation exercise is proposed that aims at investigating whether the fast average adjustment of the disaggregate inflation series of the euro area CPI translates into the slow adjustment of euro area aggregate inflation. We first estimate a dynamic factor model for 404 inflation sub-indices of the euro area CPI. This allows to decompose the dynamics of inflation sub-indices in two parts: one due to a common

Keywords: Inflation (Finance); Consumer price indexes; Euro (search for similar items in EconPapers)
Date: 2007
New Economics Papers: this item is included in nep-mac
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (30)

Downloads: (external link)
http://www.chicagofed.org/digital_assets/publicati ... s/2007/wp2007_02.pdf (application/pdf)

Related works:
Working Paper: Fast micro and slow macro: can aggregation explain the persistence of inflation? (2007)
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:fip:fedhwp:wp-07-02

Ordering information: This working paper can be ordered from

Access Statistics for this paper

More papers in Working Paper Series from Federal Reserve Bank of Chicago Contact information at EDIRC.
Bibliographic data for series maintained by Lauren Wiese ().