Global Inflation: The Role of Food, Housing and Energy Prices

41 Pages Posted: 24 Feb 2017

Date Written: February 23, 2017

Abstract

This paper studies the role of global factors in causing common movements in consumer price inflation, with particular focus on the food, housing and energy sub-indices. It uses a comprehensive dataset of 223 countries and territories collected from national and international sources. Global factors explain a large share of the variance of national inflation rates for advanced countries ─ and more generally those with greater GDP per capita, financial development and central bank transparency ─ but not for middle and low income countries. Common factors explain a large share of the variance in food and energy prices.

Keywords: global inflation, common factor, food prices, energy prices

JEL Classification: E31, E52, F42

Suggested Citation

Parker, Miles Ian, Global Inflation: The Role of Food, Housing and Energy Prices (February 23, 2017). ECB Working Paper No. 2024, Available at SSRN: https://ssrn.com/abstract=2923137

Miles Ian Parker (Contact Author)

Reserve Bank of New Zealand ( email )

2 The Terrace
P.O. Box 2498
Wellington
New Zealand

Do you have a job opening that you would like to promote on SSRN?

Paper statistics

Downloads
75
Abstract Views
667
rank
389,034
PlumX Metrics