EconStor >
Bank of Canada, Ottawa >
Bank of Canada Discussion Papers >

Please use this identifier to cite or link to this item:

http://hdl.handle.net/10419/66953
  
Title:The behaviour of consumer prices across provinces PDF Logo
Authors:Wilkinson, Gordon
Issue Date:2011
Series/Report no.:Bank of Canada Discussion Paper 2011-2
Abstract:Measures of core inflation enable a central bank to distinguish price movements that are transitory and generated by non-monetary events from those that are more permanent and related to prior monetary policy decisions. The author uses standard statistical measures to assess the behaviour of consumer prices across provinces and identify price components with more divergent price patterns. The results indicate that energy, shelter and tobacco prices are the most volatile across provinces. Very large price movements restricted to one or a few provinces suggest that the forces or events triggering those movements may be province specific and unrelated to national demand pressures. Such results suggest that constructing a type of core inflation measure called the trimmed mean that excludes components with exceptionally large price changes at the provincial level may offer an alternative means of assessing underlying inflationary pressures.
Subjects:Inflation and prices
JEL:E31
Document Type:Working Paper
Appears in Collections:Bank of Canada Discussion Papers

Files in This Item:
File Description SizeFormat
658945742.pdf247.93 kBAdobe PDF
No. of Downloads: Counter Stats
Download bibliographical data as: BibTeX
Share on:http://hdl.handle.net/10419/66953

Items in EconStor are protected by copyright, with all rights reserved, unless otherwise indicated.