Search Frictions, Real Rigidities, and Inflation Dynamics
نویسندگان
چکیده
منابع مشابه
Search Frictions , Real Rigidities and Inflation Dynamics Carlos
The standard New Keynesian model suffers from the so-called .macro-micro pricing conflict: in order to match the dynamics of inflation implied by macroeconomic data, the model needs to assume an average duration of price contracts which is much longer than what is observed in micro data. Here I show how departing from the standard model’s assumption of a perfectly competitive labor market can h...
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4 Non-technical summary 5
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We study the implications of trend inflation for an economy’s long-run growth rate. To do so, we extend a New Keynesian model to allow for endogenous growth. The defining characteristic of the New Keynesian framework is that inflation and nominal price stickiness together induce relative price dispersion and thus reduce monopoly profits. When the framework is embedded in an endogenous growth mo...
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ژورنال
عنوان ژورنال: Journal of Money, Credit and Banking
سال: 2011
ISSN: 0022-2879
DOI: 10.1111/j.1538-4616.2011.00420.x