Welfare implications of Calvo vs. Rotemberg-pricing assumptions

DOI10.1016/J.ECONLET.2008.02.008MaRDI QIDQ1934867zbMATH OpenOpenAlexFDO

Authors Giovanni Lombardo, David Vestin

Publication date 29 January 2013

Published in Economics Letters (Search for Journal in Brave)

Full work available at URL http://www.ecb.europa.eu/pub/pdf/scpwps/ecbwp770.pdf

zbMATH Keywords

Calvo price adjustmentinflationRotemberg price adjustmentsecond order approximationwelfare

Mathematics Subject Classification ID

Welfare economics (91B15) Economic growth models (91B62) Macroeconomic theory (monetary models, models of taxation) (91B64) Stochastic models in economics (91B70)

Recommendations

• The inflation bias under Calvo and Rotemberg pricing
• The welfare loss from unstable inflation
• Real wage rigidities and disinflation dynamics: Calvo vs. Rotemberg pricing
• Second-order approximation to the Rotemberg model around a distorted steady state
• Is Rotemberg pricing justified by macro data?

Cites work

• Monopolistic Price Adjustment and Aggregate Output
• Optimal fiscal and monetary policy under sticky prices.
• The welfare loss from unstable inflation

Cited in

(9)

• The inflation bias under Calvo and Rotemberg pricing
• Is Rotemberg pricing justified by macro data?
• The welfare loss from unstable inflation
• Revisiting the optimal inflation rate with downward nominal wage rigidity: the role of heterogeneity
• Exact likelihood computation for nonlinear DSGE models with heteroskedastic innovations
• Real wage rigidities and disinflation dynamics: Calvo vs. Rotemberg pricing
• Second-order approximation to the Rotemberg model around a distorted steady state
• Calvo vs. Rotemberg in a trend inflation world: an empirical investigation
• Welfare loss and policy trade-offs: Calvo vs. Rotemberg

Describes a project that uses

Uses Software

• Dynare

This page was built for publication: Welfare implications of Calvo vs. Rotemberg-pricing assumptions

Report a bug (only for logged in users!)Click here to report a bug for this page (MaRDI item Q1934867)