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ResearchPaper
2009

The camp view of inflation forecasts

Abstract (English)

Analyzing sample moments of survey forecasts, we derive disagreement and un- certainty measures for the short- and medium term inflation outlook. The latter provide insights into the development of inflation forecast uncertainty in the context of a changing macroeconomic environment since the beginning of 2008. Motivated by the debate on the role of monetary aggregates and cyclical variables describing a Phillips-curve logic, we develop a macroeconomic indicator spread which is assumed to drive forecasters? judgments. Empirical evidence suggests procyclical dynamics between disagreement among forecasters, individual forecast uncertainty and the macro-spread. We call this approach the camp view of inflation forecasts and show that camps form up whenever the spread widens.

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Publication license

Publication series

Hohenheimer Diskussionsbeiträge; 320

Published in

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Faculty

Faculty of Business, Economics and Social Sciences

Institute

Institut für Volkswirtschaftslehre (bis 2010)

Examination date

Supervisor

Cite this publication

Schmid, K. D., Sauter, O., & Geiger, F. (2009). The camp view of inflation forecasts. https://hohpublica.uni-hohenheim.de/handle/123456789/5302

Edition / version

Citation

DOI

ISSN

ISBN

Language

English

Publisher

Publisher place

Classification (DDC)

330 Economics

Original object

University bibliography

Free keywords

Monetary policy Survey forecasts Inflation uncertainty Heterogenous beliefs and expectations Monetary aggregates

Standardized keywords (GND)

Inflation Prognose

Sustainable Development Goals

BibTeX

@techreport{Schmid2009, url = {https://hohpublica.uni-hohenheim.de/handle/123456789/5302}, author = {Schmid, Kai Daniel and Sauter, Oliver and Geiger, Felix et al.}, title = {The camp view of inflation forecasts}, year = {2009}, school = {Universität Hohenheim}, series = {Hohenheimer Diskussionsbeiträge}, }

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