Damjanovic, Vladislav; Nolan, Charles - Centre for Dynamic Macroeconomic Analysis, University … - 2007
these three results.
JEL Classification: E31, E32, E37, E58.
Keywords: Price rigidity, (S, s) pricing, macroeconomic …
(constant) real wage. Then, de�ning relative prices and real sectoral expenditures
(which are equal to sectoral demands) as
epj …
is no evidence of strong downward price rigidity in the Euro area. On average 40% of price
changes are downward movements …