Regional inflation and the age structure of the population: a view through the prism of a space-time approach

The article focuses on studying the specifics of the influence of the age structure of the population on regional inflation in the territory of the Russian Federation. The main research issue is to identify the nature of the influence (proinflationary or disinflationary) of all population groups (younger than working age, working age, older than working age). A distinctive feature of the work is the simultaneous use of a dynamic and spatial econometric approaches to modeling inflation in the context of demographic processes. The study is conducted for 79 regions of Russia in two subsamples (2003—2014 and 2015—2021). This allows us to take into account the effect of the implementation of the inflation targeting regime, which has been implemented as part of the Bank of Russia’s monetary policy since 2015. As a result of the analysis, it has been found that the population younger than the working age has a disinflationary character, and older than the working age has an inflationary character. No statistically significant results are found for the working age group.