toat

Instantaneous (Eeckhout, 2023) PCE and CPI inflation. Figure 1: Instantaneous PCE deflator inflation (blue), core PCE deflator (tan), per Eeckhout, T=12, a=4 (bold red). Red dashed line at 2% inflation. NBER defined peak-to-trough recession dates shaded gray. Source: BEA via FRED, and author’s calculations.   Figure 2: Instantaneous CPI deflator inflation (blue), core CPI deflator […]