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Persistent link: https://www.econbiz.de/10011582140
In a broad class of sticky price models the non-neutrality of nominal shocks is encoded by a simple sufficient statistic: the ratio of the kurtosis of the size-distribution of price changes over the frequency of price changes. We test this theoretical prediction using data for a large number of...
Persistent link: https://www.econbiz.de/10013323405
In a broad class of sticky price models the non-neutrality of nominal shocks is encoded by a simple sufficient statistic: the ratio of the kurtosis of the size-distribution of price changes over the frequency of price changes. We test this theoretical prediction using data for a large number of...
Persistent link: https://www.econbiz.de/10012696399
Persistent link: https://www.econbiz.de/10012666878
In a broad class of sticky price models the non-neutrality of nominal shocks is encoded by a simple sufficient statistic: the ratio of the kurtosis of the size-distribution of price changes over the frequency of price changes. We test this theoretical prediction using data for a large number of...
Persistent link: https://www.econbiz.de/10013313389
Persistent link: https://www.econbiz.de/10013171549
We propose an analytical method to analyze the propagation of a once-and-for-all shock in a broad class of sticky price models. The method is based on the eigenvalue- eigenfunction representation of the dynamics of the cross-sectional distribution of firms’ desired adjustments. A key novelty...
Persistent link: https://www.econbiz.de/10013241434
We model the decisions of a multi-product firm that faces a fixed "menu" cost: once it is paid, the firm can adjust the price of all its products. We characterize analytically the steady state firm's decisions in terms of the structural parameters: the variability of the flexible prices, the...
Persistent link: https://www.econbiz.de/10013108604
Persistent link: https://www.econbiz.de/10014438254
We model the pricing decisions of a multi-product firm that faces a fixed “menu” cost: once the cost is paid, the firm can adjust the price of all its products. We characterize analytically the steady state firm's decision in terms of the structural parameters: the variability of the...
Persistent link: https://www.econbiz.de/10013110208