Perceived long-term eurozone deflation risk unaffected by oil – paper

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The Netherlands' central bank

Perceived long-term deflation risk remains unaffected by oil prices, while short- and medium-term deflation risk appears significantly affected in recent years, according to a working paper published by the Netherlands Bank.

In Deflation risk in the euro area and central bank credibility, Gabriele Galati, Zion Gorgi, Richhild Moessner and Chen Zhou investigate whether long-term inflation expectations have become unanchored.

"We can see that in the first half of the sample (2010–2012), only short

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