Up for CPI and chained CPI.
Figure 1: Instantaneous inflation (T=12, a=4) for PCE deflator (black), for PCE deflator market prices (pink), CPI (blue) chained CPI (red), HICP (green). Red dashed line at PCE inflation target; implied CPI target is 2.45 ppts. Calculations per Eeckhout (2023). Source: BLS, BEA, European Commission, and author’s calculations.
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