Forces Driving Inflation in the New EU10 Members
Electronic Access:
Free Download. Use the free Adobe Acrobat Reader to view this PDF file
Summary:
The paper analyzes the forces driving inflation in the new EU10 member countries. A significant part of headline inflation in these countries is due to common factors, such as price level convergence and EU integration. However, idiosyncratic factors have also played a role in the inflation process. These factors are related to the country-specific financial conditions, pass-through from foreign prices, and demand-supply situation in each country, although administered price adjustments and increases of indirect taxes associated with EU accession are also likely to have played a role.
Series:
Working Paper No. 2009/051
Subject:
Energy prices Exchange rate arrangements Financial services Foreign exchange Inflation Nominal effective exchange rate Prices Real interest rates
English
Publication Date:
March 1, 2009
ISBN/ISSN:
9781451871999/1018-5941
Stock No:
WPIEA2009051
Pages:
18
Please address any questions about this title to publications@imf.org