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This is an encouraging result: it suggests that policymakers could partially influence the highexpectation right-tail of the inflation expectations distribution through public information campaigns in the spirit of our information treatments. Why heterogeneity for consumers, and why are expectations high? An important and well-known distinctive feature of survey inflation expectations of individual consumers and firms – when compared with that of professional forecasters – is the much larger dispersion across individuals’ beliefs about future inflation and the greater rightskewedness, or long right-tail, of this distribution. A number of different explanations have been proposed for the larger heterogeneity in beliefs, the larger proportion of extreme high responses, and the subsequent higher mean inflation forecast among consumers, summarized in Slide 11. First, in our research, we have found a tendency among a subset of respondents to think about specific prices, and especially those most salient to them, in coming up with a forecast. These often tend to be prices of goods that changed the most or are most volatile, such as food and gas prices. As a result, respondents who think about specific prices tend to report higher inflation expectations. Respondents who instead think more about a broader overall measure of inflation tend to report lower forecasts. Several alternative explanations that have been proposed in the recent literature for the large heterogeneity in beliefs focus on differences in information sets or in expectation-formation processes.