• 1 Introduction
  • 2 Related literature
  • 3 The model
  • 3.1 Monopolistic competition firms
  • 3.2 Generalized time-dependent price stickiness
  • 3.3 The optimal pricing
  • 3.4 Derivation of the New Keynesian Phillips curve
  • 4 Analytical Results
  • 4.1 Derive the Calvo NKPC from the generalized NKPC
  • 4.2 Interpretation of lagged inflation in the NKPC
  • 4.3 The NKPC with trend inflation (g)
  • 5 Numerical experiments
  • 5.1 The general equilibrium model
  • 5.2 Calibration
  • 5.3 Simulation results
  • 6 Conclusion
  • A Deviation of the New Keynesian Phillips curve
  • A.1 Log-linearize the optimal price equation
  • A.2 Derivation of New Keynesian Phillips curve
  • B Proof for Proposition 1
  • C The Weibull distribution