Self-reported and revealed inflation inattention

This paper looks at household inflation attention in the euro area, using the European Commission's Business and Consumer Survey. The main contributions are to measure inflation inattention and its drivers and to illustrate how inflation inattention differs across socio-economic categories (gender, income, education and age). We use two measures: self-reported inflation inattention, corresponding to the share of `don't know' responses and a new index of revealed inflation attention. This index assesses how well consumer inflation perceptions ma

Source: op.europa.eu