Arbeitspapier
The causal relationship between inflation and inflation expectations in the United Kingdom
Two major events have affected the monetary regime in the United Kingdom in recent years, namely the introduction of inflation targeting, and the granting of operational independence to the Bank of England. In this paper we examine what impact, if any, these events have had on inflation expectations. A series of Granger causality tests are used in order to examine the causal relationship between a measure of prices and inflation expectations. We find evidence that the introduction of inflation targeting caused both the general public and professionals to anchor their expectations, rather than basing them on current RPI inflation.
- Language
-
Englisch
- Bibliographic citation
-
Series: External MPC Unit Discussion Paper ; No. 24
- Classification
-
Wirtschaft
- Event
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Geistige Schöpfung
- (who)
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Kelly, Roger
- Event
-
Veröffentlichung
- (who)
-
Bank of England, External Monetary Policy Committee Unit
- (where)
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London
- (when)
-
2008
- Handle
- Last update
-
10.03.2025, 11:43 AM CET
Data provider
This object is provided by:
ZBW - Deutsche Zentralbibliothek für Wirtschaftswissenschaften - Leibniz-Informationszentrum Wirtschaft. If you have any questions about the object, please contact the data provider.
ZBW - Deutsche Zentralbibliothek für Wirtschaftswissenschaften - Leibniz-Informationszentrum Wirtschaft. If you have any questions about the object, please contact the data provider.
Object type
- Arbeitspapier
Associated
- Kelly, Roger
- Bank of England, External Monetary Policy Committee Unit
Time of origin
- 2008
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