کد مقاله کد نشریه سال انتشار مقاله انگلیسی نسخه تمام متن
967857 931411 2009 12 صفحه PDF دانلود رایگان
عنوان انگلیسی مقاله ISI
Trend inflation, wage and price rigidities, and productivity growth
موضوعات مرتبط
علوم انسانی و اجتماعی اقتصاد، اقتصادسنجی و امور مالی اقتصاد و اقتصادسنجی
پیش نمایش صفحه اول مقاله
Trend inflation, wage and price rigidities, and productivity growth
چکیده انگلیسی

What are the steady-state implications of inflation in a general-equilibrium model with real per capita output growth and staggered nominal price and wage contracts? Surprisingly, a benchmark calibration implies an optimal inflation rate of -1.9-1.9 percent. The analysis also shows that trend inflation has important effects on the economy when combined with nominal contracts and real output growth. Steady-state output and welfare losses are quantitatively important even for low values of trend inflation. Further, nominal wage contracting is found to be quantitatively more important than nominal price contracting in generating the results. This conclusion does not arise from price dispersion per se  , but from an effect of nominal output growth on the optimal markup of monopolistically competitive labour suppliers. Finally, accounting for productivity growth is found to be important for calculating the welfare costs of inflation. Indeed, the presence of 22 percent productivity growth increases the welfare costs of inflation in the benchmark specification by a factor of four relative to the no-growth case.

ناشر
Database: Elsevier - ScienceDirect (ساینس دایرکت)
Journal: Journal of Monetary Economics - Volume 56, Issue 3, April 2009, Pages 353–364
نویسندگان
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