Modeling Inflation in Croatia (CROSBI ID 608952)
Neobjavljeno sudjelovanje sa skupa | neobjavljeni prilog sa skupa | međunarodna recenzija
Podaci o odgovornosti
Broz, Tanja ; Vizek, Maruška
engleski
Modeling Inflation in Croatia
This paper constructs a quarterly inflation model for Croatia, using the generalto- specific approach to model inflation dynamics. A two-step procedure is followed. First, we conduct a long-run sectoral analysis of inflation sources, yielding long-run determinants of inflation: markup, excess money, nominal effective exchange rate, and the output gap. Second, we estimate an equilibrium error correction model of inflation, deploying, among other variables of interest, the long-run solutions derived in the first step. The derived model of inflation suggests that inflation inertia and Croatian trading partners’ inflation are most important for explaining the short-run behavior of inflation. Apart from these two variables, markup, excess money, output gap, nominal exchange rate, and broad money also contribute to inflation changes in the short run.
cointegration; Croatia; general-to-specific; inflation modeling
nije evidentirano
nije evidentirano
nije evidentirano
nije evidentirano
nije evidentirano
nije evidentirano
Podaci o prilogu
nije evidentirano
nije evidentirano
Podaci o skupu
The 24th International Symposium on Money, Banking and Finance
predavanje
14.06.2007-15.06.2007
Rennes, Francuska