کد مقاله کد نشریه سال انتشار مقاله انگلیسی نسخه تمام متن
967950 931424 2007 16 صفحه PDF دانلود رایگان
عنوان انگلیسی مقاله ISI
Estimating the frequency of price re-optimization in Calvo-style models
موضوعات مرتبط
علوم انسانی و اجتماعی اقتصاد، اقتصادسنجی و امور مالی اقتصاد و اقتصادسنجی
پیش نمایش صفحه اول مقاله
Estimating the frequency of price re-optimization in Calvo-style models
چکیده انگلیسی

This paper assesses the empirical performance Calvo style models of price re-optimization. We first show that versions of these models in which firms update non-re-optimized prices to lagged inflation account well for the statistical behavior of post-war U.S. inflation rates. We then investigate whether these models imply plausible degrees of inertia in price setting behavior by firms. They do, but only if we depart from two standard auxiliary assumptions: monopolistically competitive firms face a constant elasticity of demand, and capital is homogeneous and can be instantaneously reallocated after a shock. We develop a version of the model in which these assumptions are relaxed and show that it is consistent with the view that firms re-optimize prices, on average, once every two quarters.

ناشر
Database: Elsevier - ScienceDirect (ساینس دایرکت)
Journal: Journal of Monetary Economics - Volume 54, Issue 7, October 2007, Pages 2032–2047
نویسندگان
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