Keywords
ENCUESTAS
BANCA CENTRAL
EXPECTATIVAS RACIONALES
EXPECTATIVAS ADAPTATIVAS
INFLATION TARGETING
SURVEYS
CENTRAL BANKING
RATIONAL EXPECTATIONS
ADAPTATIVE EXPECTATIONS
How to Cite
Abstract
The Banco Central de Costa Rica (BCCR) is currently transitioning to an Inflation Targeting (IT) regime. In such context, it is relevant for the monetary authority to characterize in the most complete way possible the inflation expectations of the population, both in the particular elements of the forecasts and in the processes by which agents take information into account for their individual predictions. This paper documents the analysis of the inflation expectations data contained in the Monthly Survey of Inflation and Exchange Rate Expectations. We test several hypotheses such as rational and adaptive expectations. The results show significant biases in those expectations, while there is also a lack of learning from past errors by the agents surveyed.References
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