Budgetary policy for 2009-13  For the first time, together with the Economic and Financial Planning Document the Government has specified budgetary measures that according to the official estimates will achieve the Document’s targets for the years covered. This should provide a framework of greater certainty for economic agents and allow budgetary policy to focus on structural reform and measures to stimulate economic growth.
In contrast to such survey-based indicators, high-frequency data on expectations can be extracted from financial market indicators such as swap rates or break-even inflation rates. However, such measures may combine expectations with preferences of investors. As a result, indicators extracted from market prices may deviate from expected inflation from surveys. Moreover, market prices may include liquidity premia which blur the picture.