Please use this identifier to cite or link to this item: http://hdl.handle.net/10419/185556
Authors: 
Gerdesmeier, Dieter
Roffia, Barbara
Reimers, Hans-Eggert
Year of Publication: 
2018
Series/Report no.: 
Wismarer Diskussionspapiere No. 06/2018
Abstract: 
[Introduction] The role of money and credit for the economy, and especially for inflation, has always attracted a lot of attention in the economic literature (see, for instance, Friedman and Schwartz (1963), Bernanke (1993)) and, more recently, Nelson (2008), Benati (2009), Lucas and Nicolini (2015), Hevia and Nicolini (2017) as well as Anderson, Bordo and Duca (2017)). This paper addresses some key questions regarding the fundamental nature of the relationships among those variables and attempts to analyse them for the euro area by means of filter-design techniques. After decomposing the variables over different frequencies, regressions are carried out and the main drivers of inflation over different horizons are derived in a single-equation approach. Robustness checks are also carried out by choosing different combinations of explanatory variables, price measures (GDP deflator and house prices) and frequency horizons. The paper is structured as follows. After a review of the literature and methodology, the basic framework applied in the analysis as well as the relevant variables are illustrated in more details. Afterwards, the results at different frequencies for HICP, the GDP deflator and house prices are provided. The final section concludes.
JEL: 
E31
E51
E52
ISBN: 
978-3-942100-62-5
Document Type: 
Working Paper

Files in This Item:
File
Size
996.27 kB





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