Inflation Attitudes of Large Language Models
Journal: ArXiv.org
Year: 2025

This paper investigates the ability of Large Language Models (LLMs), specifically GPT-3.5-turbo (GPT), to form inflation perceptions and expectations based on macroeconomic price signals. We compare the LLM's output to household survey data and official statistics, mimicking the information set and demographic characteristics of the Bank of England's Inflation Attitudes Survey (IAS). Our quasi-experimental design exploits the timing of GPT's training cut-off in September 2021 which means it has