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Momentum Informed Inflation-at-Risk

Tibor Szendrei, Arnab Bhattacharjee

arXiv 22 Aug 2024 · Econometrics

arXiv:2408.12286 · PDF · DOI · OpenAlex · Extracted main text

Abstract

Growth-at-Risk has recently become a key measure of macroeconomic tail-risk, which has seen it be researched extensively. Surprisingly, the same cannot be said for Inflation-at-Risk where both tails, deflation and high inflation, are of key concern to policymakers, which has seen comparatively much less research. This paper will tackle this gap and provide estimates for Inflation-at-Risk. The key insight of the paper is that inflation is best characterised by a combination of two types of nonlinearities: quantile variation, and conditioning on the momentum of inflation.

Citation extraction

54
references
91
in-text mentions
54
distinct cited
2
self-citations
10,191
main-text words

appendix boundary found by appendix_command · 99% of the source is main text. Read the extracted text to check this.

Most heavily cited references

The works this paper leans on most, across its whole bibliography — not restricted to papers in our corpus. Ranked by composite intensity, which combines how often a work is mentioned, how many sections mention it, and how much of that falls in the main text rather than the appendix.

ReferenceIntensityMentionsSectionsMain text
1Lopez-Salido, D. and F. Loria (2022) Inflation at risk1.00074100%
2Adrian, T., N. Boyarchenko, and D. Giannone (2019) Vulnerable growth1.00073100%
3Banerjee, R. N., J. Contreras, A. Mehrotra, and F. Zampolli (2020) Inflation at risk in advanced and emerging market economies1.00053100%
4De Grauwe, P (2011) Animal spirits and monetary policy1.00053100%
5McMillen, D. P (2015) Conditionally parametric quantile regression for spatial data: An analysis of land values in early nineteenth century chicago0.87462100%
6Szendrei, T., A. Bhattacharjee, and M. E. Schaffer (2024) Fused LASSO as non-crossing quantile regression self0.87462100%
7Bondell, H. D., B. J. Reich, and H. Wang (2010) Noncrossing quantile regression curve estimation0.64441100%
8Koenker, R. and G. Bassett (1978) Regression quantiles0.64422100%
9Kohns, D. and T. Szendrei (2023) Horseshoe prior Bayesian quantile regression0.64422100%
10Wolters, M. H. and P. Tillmann (2015) The changing dynamics of us inflation persistence: A quantile regression approach0.64422100%

Showing the top 10 of 54 scored citations.