Further processing options
A new approach to assess inflation expectations anchoring using strategic surveys
Saved in:
| Authors and Corporations: | , , , , |
|---|---|
| Other Authors: | Sbordone, Argia M. [Author] • Topa, Giorgio [Author] • Klaauw, Wilbert van der 1963- [Author] • Williams, John C. 1962- [Author] |
| Type of Resource: | E-Book |
| Language: | English |
| published: | |
| Series: |
Federal Reserve Bank of New York: Staff reports ; no. 1007 (February 2022)
|
| Subjects: | |
| Source: | Verbunddaten SWB Lizenzfreie Online-Ressourcen |
| Summary: | We propose a new approach to assessing the anchoring of inflation expectations using "strategic surveys". Namely, we measure households' revisions in long-run inflation expectations after they are presented with different economic scenarios. A key advantage of this approach is that it provides a causal interpretation in terms of how inflation events affect long-run inflation expectations. We implement the method in the summer of 2019 and the spring-summer of 2021 when the anchoring of long-run inflation expectations was in question. We find that the risk of unanchoring of expectations was reasonably low in both periods, and that long-run inflation expectations were essentially as well anchored in August 2021 as in July 2019, before the COVID-19 pandemic. |
|---|---|
| Physical Description: | 1 Online-Ressource (circa 42 Seiten); Illustrationen |