Inflation targets - Bank of Canada
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Bank of Canada RSS Feedsen2024-03-28T13:47:28+00:00On the Wedge Between the PPI and CPI Inflation Indicators
https://www.bankofcanada.ca/2022/01/staff-working-paper-2022-5/
We find that the CPI and PPI inflation indexes co-moved strongly throughout the late 20th century, but their correlation has fallen substantially since the early 2000s. We offer a structural explanation for this divergence based on the growth of global supply chains since 2000. This finding offers a unique perspective for the future design of optimal monetary policy.2022-01-26T13:08:07+00:00enOn the Wedge Between the PPI and CPI Inflation Indicators2022-01-26Inflation and pricesInflation targetsInternational topicsMonetary policyStaff Working Paper 2022-5https://www.bankofcanada.ca/wp-content/uploads/2022/01/swp2022-5.pdfOn the Wedge Between the PPI and CPI Inflation IndicatorsShang-Jin WeiYinxi XieJanuary 2022EE3E31E5E52E58FF1F11F12F4F41F6F62