Journal article | Zeitschriftenartikel
The Relevance of Supply Shocks for Inflation: The Spanish Case
This paper analyses the effects of supply shocks on the Spanish inflation rate. The methodology applied is based on Ball and Mankiw (1995). These authors assume that a good proxy for supply shocks is the third moment of the distribution of price changes, and show that nominal rigidities imply a positive relation between inflation and skewness, which is magnified by the variance of the distribution. The main data used are the monthly consumer price indexes of each region, disaggregated in 57 categories, for the 1993-2005 period. We estimate the relation between mean inflation and the higher moments of the distribution, including several control variables (rate of unemployment, industrial production index, general retail trade index, shopping mall retail trade index, oil prices and industrial price index). The analysis has been carried out in two ways: firstly, each region is analysed separately and, secondly, we use panel data techniques in order to test the homogeneity across regions. Our results point out that Spanish regions show a common pattern with regard to the nominal rigidities confronted, and that Spanish inflation is vulnerable to supply shocks.
- Extent
-
Seite(n): 753-764
- Language
-
Englisch
- Notes
-
Status: Postprint; begutachtet (peer reviewed)
- Bibliographic citation
-
Applied Economics, 41(6)
- Event
-
Geistige Schöpfung
- (who)
-
Caraballo, Mª Angeles
Usabiaga, Carlos
- Event
-
Veröffentlichung
- (when)
-
2009
- DOI
- URN
-
urn:nbn:de:0168-ssoar-241557
- Rights
-
GESIS - Leibniz-Institut für Sozialwissenschaften. Bibliothek Köln
- Last update
-
21.06.2024, 4:27 PM CEST
Data provider
GESIS - Leibniz-Institut für Sozialwissenschaften. Bibliothek Köln. If you have any questions about the object, please contact the data provider.
Object type
- Zeitschriftenartikel
Associated
- Caraballo, Mª Angeles
- Usabiaga, Carlos
Time of origin
- 2009
Other Objects (12)
The Relevance of Supply Shocks for Inflation: The Spanish Case
The impact of oil shocks on the Spanish economy.
Supply shocks and the persistence of inflation
Estimating Core Inflation - The Role of Oil Price Shocks and Imported Inflation
Relevance of Low Inflation in the Southeastern European Countries
Regional Disparities And Asymmetric Shocks: The Case Of The Spanish Regions
Financial shocks and inflation dynamics
The Transmission of Supply Shocks in Different Inflation Regimes
Towards a new paradigm: The inflation shock as a catalyst?
The asymmetric effects of weather shocks on euro area inflation
Exchange rate shocks and inflation comovement in the euro area
Inflation Inertia and Monetary Policy Shocks
The Relevance of Supply Shocks for Inflation: The Spanish Case
The impact of oil shocks on the Spanish economy.
Supply shocks and the persistence of inflation
Estimating Core Inflation - The Role of Oil Price Shocks and Imported Inflation
Relevance of Low Inflation in the Southeastern European Countries
Regional Disparities And Asymmetric Shocks: The Case Of The Spanish Regions
Financial shocks and inflation dynamics
The Transmission of Supply Shocks in Different Inflation Regimes
Towards a new paradigm: The inflation shock as a catalyst?
The asymmetric effects of weather shocks on euro area inflation
Exchange rate shocks and inflation comovement in the euro area
Inflation Inertia and Monetary Policy Shocks
The Relevance of Supply Shocks for Inflation: The Spanish Case
The impact of oil shocks on the Spanish economy.
Supply shocks and the persistence of inflation
Estimating Core Inflation - The Role of Oil Price Shocks and Imported Inflation
Relevance of Low Inflation in the Southeastern European Countries
Regional Disparities And Asymmetric Shocks: The Case Of The Spanish Regions
Financial shocks and inflation dynamics
The Transmission of Supply Shocks in Different Inflation Regimes
Towards a new paradigm: The inflation shock as a catalyst?
The asymmetric effects of weather shocks on euro area inflation
Exchange rate shocks and inflation comovement in the euro area