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inventory management techniques. Drawing from Post-Keynesian and structuralist theories of inflation, this paper uses a vector …Several explanations of the great inflation moderation (1982-2006) have been put forth, the most popular being that … inflation was tamed due to good monetary policy, good luck (exogenous shocks such as oil prices), or structural changes such as …
Persistent link: https://www.econbiz.de/10010318622
fraction of price changes increases with inflation. In addition, in the presence of strategic complementarities, they predict …
Persistent link: https://www.econbiz.de/10015189257
Foreign price shocks have significant effects on functional income distribution and on inflation inequality. By ….g. food prices for low-wage workers). Based on the conflicting-claims inflation literature, we propose a new extension to this … with an inflation-targeting regime. We investigate the impacts of foreign price shocks on income and inflation inequality …
Persistent link: https://www.econbiz.de/10014000446
' PC (relating the level of the inflation rate, not the change in this rate, to the rate of unemployment); and the …
Persistent link: https://www.econbiz.de/10014278530
We develop a theory of labor markets in a monetary economy with four realistic features: search frictions, worker productivity shocks, wage rigidity, and two-sided lack of commitment. Due to the non-Coasean nature of labor contracts, inefficient job separations occur in the form of endogenous...
Persistent link: https://www.econbiz.de/10014296865
do not force a central bank to tolerate higher inflation, but may generate a tradeoff between the central bank …'s objectives for inflation and real activity. The presence and size of this tradeoff depends on how flexible prices are in the …
Persistent link: https://www.econbiz.de/10014302775
increase in inflation in the US and elsewhere. Much has been made of this outcomes, and the economic distress associated with … it, in popular discussion of the economy. This paper provides a Kaleckian conflicting-claims analysis of inflation during …-setting behaviour as sources of inflationary pressure. A key conclusion that arises from the co-determination of inflation and …
Persistent link: https://www.econbiz.de/10014329443
The post-pandemic surge in inflation was accompanied by a surge in the corporate share of profits. As a result, several … economists and policy makers have given to it names such as "profit-led inflation" or "sellers' inflation." The present paper … discusses the extent to which profit-led inflation, as an explanation for the recent surge in inflation, is compatible with what …
Persistent link: https://www.econbiz.de/10014474483
Using the model proposed in Krugman and Taylor's "Contractionary effects of devaluation" (1978), we examine what macroeconomic effects of shocks to foreign prices. We show that these shocks can be contractionary for two reasons: (i) because they imply a loss of income if an economy has a trade...
Persistent link: https://www.econbiz.de/10014474508
wage formation and inflation is used to illustrate this argument. …
Persistent link: https://www.econbiz.de/10014480417