Explaining hump-shaped inflation responses to monetary policy shocks

Article Abstract:

A variety of macroeconomic models was used to study the counter actions of business firms towards monetary policy shocks. It was found that a hump-shaped inflation is brought byassumptions on the costs of contract renegotiating and that of price adjustment. Impulse responses towards different conditions are presented in graphs.

Interpretation and construction, Causes of, Contracts

---

The real effects of inflation in continuous versus discrete time sticky price models

Article Abstract:

A comparison of continuous time and discrete time models is presented. Discrete time sticky price models entail complete price flexibility and longer contracts compared to continuous time models owing to lower menu costs. The implications of monetary shocks and trend inflation on these price models are analyzed.

United States, Evaluation, Econometric models

---

Costly price adjustment and the optimal rate of inflation

Article Abstract:

An econometric model, which focused on the money's accounting role, determined that the optimal inflation rate would be zero if price adjustment costs are high. Price changes increase while productivity is decreased when inflation occurs. An explanation of the mathematical model used is presented.

Canada, Other General Government Support, Coinage & Currency, Capital funds & cash flow, Accounting and auditing, Money

Similar abstracts:

• Abstracts: The migration response to economic shock: lessons from Kazakhstan. International capital markets and exchange rate stabilization in the CIS
• Abstracts: Analysing misleading discrete responses: a logit model based on misclassified data. Analysis of labour participation behaviour of Korean women with dynamic probit and conditional logit
• Abstracts: Explaining clustering in social networks: towards an evolutionary theory of cascading benefits. Cognitive adaptations for n-person exchange: the evolutionary roots of organizational behavior
• Abstracts: Inside the black box: the credit channel of monetary policy transmission. Medium-term business cycles
• Abstracts: Crises and prices: information aggregation, multiplicity, and volatility. Paying not to go the gym

This website is not affiliated with document authors or copyright owners. This page is provided for informational purposes only. Unintentional errors are possible.