Norges Bank

Staff Memo

Price spillovers in Norway: Less prevalent after the 1980s

Kristine Aunvåg Matsen
Staff Memo


This Staff Memo considers some of the available evidence on relative price shocks as a driver of Norwegian inflation dynamics in high- versus low-inflation regimes. The results suggest that relative price shocks have largely been transient over the past two-three decades. However, this has been a period of low and stable inflation. Evidence from the 1980s suggest that relative price shocks had greater passthrough to other prices, and thus core inflation, in a high inflation regime.

Staff Memos present reports and documentation written by staff members and affiliates of Norges Bank, the central bank of Norway. Views and conclusions expressed in Staff Memos should not be taken to represent the views of Norges Bank.

ISSN 1504-2596 (online)

Published 5 June 2023 14:25
Published 5 June 2023 14:25