BoE paper analyses drivers of price setting
Panel data on UK firms reveals asymmetry in how firms decide to raise prices
Research published by the Bank of England in August explores data on UK firms to shed light on the factors that lead to price increases.
Firming up price inflation sets out analysis based on the UK Decision Makers’ Panel, a monthly survey that gathers data on around 3,000 firms. The BoE, the University of Nottingham in the UK and Stanford University in the US run the survey, and economists from the three organisations contributed to the analysis in the working paper.
The paper sets out several
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