The role of media for consumers' inflation expectation formation

Publikation: Beiträge in ZeitschriftenZeitschriftenaufsätzeForschungbegutachtet

Authors

The full-information rational expectations model is clearly rejected by the data. The expectation formation process has therefore important implications for macroeconomic outcomes. We examine how consumers react to information provided by the media, by taking into account that this information is imperfect. We show that information rigidities play a role empirically. Intensive news reporting improves the accuracy of consumers’ inflation expectations, because they receive more information. However, this effect depends on the tone of the news. If news are badly toned, the effect reverts.
OriginalspracheEnglisch
ZeitschriftJournal of Economic Behavior and Organization
Jahrgang106
Seiten (von - bis)62-77
Anzahl der Seiten16
ISSN0167-2681
DOIs
PublikationsstatusErschienen - 10.2014
Extern publiziertJa

DOI

Zuletzt angesehen

Publikationen

  1. Time Machine
  2. Stützlehrerinnen und Stützlehrer in der beruflichen Integrationsförderung
  3. Do the global stochastic trends drive the real house prices in OECD countries?
  4. From Estimation Results to Stylized Facts Twelve Recommendations for Empirical Research in International Activities of Heterogeneous Firms
  5. Stakeholder engagement in Water Framework Directive planning in the United Kingdom: Two case studies from Northern Ireland and Scotland
  6. Exports and firm characteristics-first evidence from fractional probit panel estimates
  7. Automatismen im Tanz
  8. Zur Information: Der blinde Fleck im Transhumanismus
  9. Michael Brecker's "I mean you"
  10. Interpunktionszeichen der Geschichte; Leichen
  11. Together or apart?
  12. Risk preferences under heterogeneous environmental risk
  13. Long-term health-related quality of life after decompressive hemicraniectomy in stroke patients with life-threatening space-occupying brain edema
  14. Exports, Imports, and Productivity at the Firm Level
  15. Multidimensional Time and Income Poverty
  16. Freiwilliges Engagement im Kontext von Flucht und Migration
  17. Struktur eines Instruments zur Kompetenzerfassung in der Sportlehrerausbildung
  18. Do student ratings of classroom management tell us more about teachers or about classroom composition?
  19. Terézia Mora
  20. IGH
  21. From “Decent work and economic growth” to “Sustainable work and economic degrowth”
  22. Capitalism with a Transhuman Face
  23. Umweltgerichte in China
  24. Developing Carbon Accounting
  25. Assessing Online Consultation in Participatory Governance
  26. The meanings of ‘electronic dance music’ and ‘EDM’
  27. (Z)-3,7-Bis(phenylsulfonyl)pentacyclo[5.1.0.02,4.03,5.06,8]octan, ein Octabisvalen-Derivat.
  28. Science Education towards Inclusion
  29. The private and public insurance value of conservative biodiversity management
  30. Einleitung