HeyJaredNiccolò BattistiniLead Economist
- Indexed articles, last 90 days
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- Jul 29, 2026
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- Jul 29, 2026
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Demand or supply-driven? How firms view inflation right now (opens the original)
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By Niccolò Battistini and Giovanni Trebbi Energy prices are surging again, pushing up inflation in the euro area. This ECB Blog post examines whether firms are attributing this to a demand surge or to supply constraints. Two approaches – textual analysis and empirical models – can help make the picture clearer. For central banks, whether inflation stems from demand or supply makes a crucial difference. Demand-driven inflation (sometimes called demand-pull inflation) calls for a firm policy respo
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For European Central Bank, the outlet · Measured Aug 1, 2026
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