French CPI data reveals price rigidity, impacting consumer spending and inflation rates.
Consumer prices in France tend to stay the same for about 8 months on average, based on a study using a large amount of price data. Different types of products have varying lengths of time before their prices change. Prices are not stuck at high levels, as price cuts happen almost as often as price increases. When prices do change, they tend to change by a significant amount. This suggests that retailers in France have different ways of deciding when and how to change prices.