About this site

This site hosts a single research report: an investigation into why Iceland's headline CPI has stayed above target for nearly four years while peer economies have normalised. It argues — with data — that the persistent gap is not a monetary phenomenon, not weakly anchored expectations, and not wage-push from a tight labour market. It is a structural housing supply failure colliding with indexation, demographic demand, and the architecture of municipal land release.

What this is

A long-form, charts-and-citations research piece. The full report is at /en (English) and /is (Icelandic). Both versions are composed from the same underlying analysis; the Icelandic version uses the central bank's own register where it exists.

Methodology

Every claim is backed by either:

  • a number that comes from a public Icelandic data source (Hagstofan, Seðlabanki Íslands, Húsnæðis- og mannvirkjastofnun, Skatturinn, Ríkisendurskoðun, the National Audit Office, or municipal open-data portals)

  • a published document (Peningamál, Fjármálastöðugleiki, central bank working papers, IMF Article IV consultations, OECD economic surveys, Sjálfbærni- og efnahagsmál committee reports), or

  • a derived calculation from a registry (the HMS kaupskrá — every property transaction in Iceland — and the HMS húsnæðisáætlanir municipal housing plans, in particular)

There is no proprietary data and no off-the-record sourcing. Everything in the report can be replicated from the bundle linked below.

Data sources

SourceWhat is used
Hagstofan CPISub-component decomposition (imported, domestic, services, housing)
Hagstofan populationCitizenship breakdowns, quarterly flows
Hagstofan incomeWage index, sector wages, income deciles, background splits
SeðlabankiPolicy rate, new credit by indexation type, FX reserves
HMS kaupskrá222k property transactions — new-build size/price/location analysis
HMS indicesKaupvísitala vs leiguvísitala (price vs rent divergence)
HMS húsnæðisáætlanirMunicipal housing plans, completions vs need, lóðaframboð, biðlistar
Reykjavík opnir reikningarDivision-level municipal spending
FSR / PeningamálCentral bank stability reports (manual extraction)

The full glossary of Icelandic political-economy terminology used throughout the report — including authoritative English equivalents drawn from CBI and government publications — is included in the data bundle as glossary.md.

The .zip bundle

The full research environment — every CSV, every Python analysis script, every section file, the glossary, and the project context document — is packaged as a downloadable zip. You can rerun the analyses, modify the methodology, or fork the report. The bundle does not include the upstream icelandic-data data toolkit, but all derived outputs the report depends on are present.

Who I am

Jökull Sólberg. Reykjavík-based. The research started as exploratory analysis on top of an Icelandic public-data toolkit I maintain, and grew large enough to warrant its own home. I am not a professional economist; I read the central bank's Peningamál and Fjármálastöðugleiki publications because the macro story they tell does not fit the micro story I see in the property registry. This site is the long version of the discrepancy.

If you are an economist or a journalist who wants to use this work, please do — every chart, every number, and every methodological choice is documented. If you find a mistake, open an issue.