Inflation and the Informativeness of Prices
نویسندگان
چکیده
منابع مشابه
The Informativeness of Prices: Search with T.kajining and Inflation Uncertainty
Sources of aggregate cost uncertainty, such as real shocks or unanticipated inflation, reduce the information content of prices by making it difficult to separate relative and aggregate price variations. But when agents can acquire information, for instance by searching, such increased noise may in fact lead them to become better informed in equilibrium, and prices will reflect increased compet...
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In many circumstances economic agents are partially ignorant about payoff-relevant state variables, but must nonetheless decide what action to take. To give just one example, investment decisions must often be made without full knowledge of the rate of return. In many such cases, agents can potentially obtain useful information by observing either the actions of other agents, or market prices. ...
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ژورنال
عنوان ژورنال: Journal of Money, Credit, and Banking
سال: 2003
ISSN: 1538-4616
DOI: 10.1353/mcb.2003.0008