An international comparison of inflation credibility surveys

Jannie Rossouw, Vishnu Padayachee, Stephanus Johannes Joubert

Abstract


This paper analyses the methodology used in assessing inflation credibility (i.e. perceptions of the accuracy of historical inflation rates) in countries targeting inflation, and compares the approaches used in New Zealand, South Africa and Sweden.  The results indicate an implied inverse (or negative) relationship in all but one instance, between the direction of actual inflation and the perception of inflation among the respondents. The analysis also shows a lack of knowledge about inflation and price increases among South African respondents, which is absent from similar surveys in New Zealand and Sweden.  Important research questions identified include possible links between inflation credibility and the adoption date of inflation targeting, as well as the type and range of targets used. 

 


Full Text:

PDF


DOI: http://dx.doi.org/10.4102/sajems.v16i2.316

Submitted: 13 October 2011
Published: 31 May 2013



RSA Tel: 086 1000 381
International Tel: +27 21 975 2602
15 Oxford Street, Durbanville, Cape Town, 7550, South Africa
publishing(AT)aosis.co.za replace (AT) with @

All articles published in this journal are licensed under the Creative Commons Attribution 4.0 International (CC BY 4.0) license, unless otherwise stated.
Website design & content: ©2017 AOSIS (Pty) Ltd. All rights reserved. No unauthorised duplication allowed.
By continuing to use this website, you agree to our Privacy Policy.

Subscribe to our newsletter

Get specific, domain-collection newsletters detailing the latest CPD courses, scholarly research and call-for-papers in your field.

Subscribe