Policy Article

Inflation expectations: quo vadis?


  • Beckmann
  • J.
  • Gern
  • K.-J.
  • Jannsen
  • N.
  • Sonnenberg
  • N.
  • Stolzenburg
  • U.
Publication Date

Against the backdrop of the recent surge in inflation, we discuss available measures of inflation expectations and implications for monetary policy in the euro area. While long-term expectations are currently still in line with the ECB’s inflation target, the risk of a further rise increases should actual inflation remain high for an extended period of time. If expectations de-anchor the ECB may face difficult trade-offs.


Key Words

  • ECB
  • Euro area
  • inflation expectations
  • monetary policy