This setting lets you change the way you view articles. You can choose to have articles open in a dialog window, a new tab, or directly in the same window.
Open in Dialog
Open in New Tab
Open in same window

American Economic Journal: Macroeconomics: Vol. 3 No. 2 (April 2011)

Expand

Quick Tools:

Print Article Summary
Export Citation
Sign up for Email Alerts Follow us on Twitter Subscription Information
(Institutional Administrator Access)

Explore:

AEJ: Macro - All Issues

AEJ: Macro Forthcoming Articles

Are Long-Run Inflation Expectations Anchored More Firmly in the Euro Area Than in the United States?

Article Citation

Beechey, Meredith J., Benjamin K. Johannsen, and Andrew T. Levin. 2011. "Are Long-Run Inflation Expectations Anchored More Firmly in the Euro Area Than in the United States?" American Economic Journal: Macroeconomics, 3(2): 104-29.

DOI: 10.1257/mac.3.2.104

Abstract

This paper compares the evolution of long-run inflation expectations in the euro area and the United States, using evidence from financial markets and surveys of professional forecasters. Survey data indicate that long-run inflation expectations are reasonably well anchored in both economies but reveal substantially greater dispersion across forecasters' long-horizon projections of US inflation. Analysis of daily data on inflation swaps and nominal-indexed bond spreads, which gauge compensation for expected inflation and inflation risk, also suggests that long-run inflation expectations are more firmly anchored in the euro area than in the United States. (JEL D84, E31, E37, E52, E58)

Article Full-Text Access

Full-text Article

Additional Materials

Download Data Set (421.93 KB)

Authors

Beechey, Meredith J. (Sveriges Riksbank)
Johannsen, Benjamin K. (Northwestern U)
Levin, Andrew T. (Federal Reserve Board)

JEL Classifications

D84: Expectations; Speculations
E31: Price Level; Inflation; Deflation
E37: Prices, Business Fluctuations, and Cycles: Forecasting and Simulation: Models and Applications
E52: Monetary Policy
E58: Central Banks and Their Policies

Comments

View Comments on This Article (0) | Login to post a comment


American Economic Journal: Macroeconomics


Quick Tools:

Sign up for Email Alerts

Follow us on Twitter

Subscription Information
(Institutional Administrator Access)

Explore:

AEJ: Macro - All Issues

AEJ: Macro - Forthcoming Articles

Virtual Field Journals


AEA Member Login:


AEAweb | AEA Journals | Contact Us