Work

Expected Inflation and TIPS

Year: 2004

Type: article

Abstract: When inflation-indexed Treasury securities were first introduced, economists hoped that they could be used to measure expected inflation easily. The only difference between securities that were indexed to inflation and those that were not was thought to be the extra compensation regular securities had to pay for what the market thought inflation would be. By now it is pretty clear that inflation-indexed Treasuries differ from regular securities in other ways that show up in the yields. This Commentary suggests what these are and discusses a method of correcting for them.

Source: RePEc: Research Papers in Economics

Authors: Charles T. Carlstrom, Timothy S. Fuerst

Language: English

Topic: Monetary Policy and Economic Impact

Subfield: General Economics, Econometrics and Finance

Field: Economics, Econometrics and Finance

Domain: Social Sciences

Open Access status: diamond

OpenAlex ID: W1597843231

FWCI: 2.018

Cites: 6

Cited by: 19

Related to: 10