Pantheon Macroeconomics - One of the key characteristics of this euro area business cycle has been near-zero inflation due to structurally weak domestic demand and depressed prices for globally traded goods and commodities. This has supported real incomes, despite sluggish nominal wage growth.

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21 March 2017 Real Wage Growth in the Eurozone is Being Hit by Higher Inflation

By Claus Vistesen

One of the key characteristics of this euro area business cycle has been near-zero inflation due to structurally weak domestic demand and depressed prices for globally traded goods and commodities. This has supported real incomes, despite sluggish nominal wage growth.

Posted: 20th Mar 2017 in 'Eurozone Documents'

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