Showing 1 - 10 of 17
The New Keynesian Phillips Curve (NKPC) is now the dominant model of inflation dynamics. In recent years, a large body of empirical research has documented price-setting behaviour at the individual level, allowing the assessment of the micro-foundations of pricing models. This paper analyses the...
Persistent link: https://www.econbiz.de/10005022270
This paper documents producer price setting in 6 countries of the euro area: Germany, France, Italy, Spain, Belgium and Portugal. It collects evidence from available studies on each of those countries and also provides new evidence. These studies use monthly producer price data. The following...
Persistent link: https://www.econbiz.de/10005022294
Taking the Spanish market for deposits as a case study we show the importance of properly controlling for the quality of the services provided when assessing the degree of banking competition. While a simple approach based on estimating the price elasticity of the residual supply of deposit...
Persistent link: https://www.econbiz.de/10005155208
This paper presents original evidence on price setting in the euro area at the individual level. We use micro data on consumer (CPI) and producer (PPI) prices, as well as survey information. Our main findings are: (i) prices in the euro area are sticky and more so than in the US; (ii) there is...
Persistent link: https://www.econbiz.de/10005155258
Evidence is presented on the long and short run relationship between the money market interest rate and loan and deposit interest rates charged by individual Spanish banks between 1988 and 2003. The results indicate that such relationships have been determined by a mixture of adjustment costs...
Persistent link: https://www.econbiz.de/10005155275
This study investigates the pricing behaviour of firms in the euro area on the basis of surveys conducted by nine Eurosystem national central banks. Overall, more than 11,000 firms participated in the survey. The results are very robust across countries. Firms operate in monopolistically...
Persistent link: https://www.econbiz.de/10005155284
This paper reports the results of a survey carried out by the Banco de España on a sample of around 2000 Spanish firms to deepen the understanding of firms' price setting behaviour. The main findings may be summarised as follows. Most Spanish firms are price setters that use predominantly state...
Persistent link: https://www.econbiz.de/10005155298
This paper explores the role of a number of factors in explaining the heterogeneity in the degree of price stickiness across industries, on the basis of the information provided by surveys on pricing behavior conducted in nine euro area countries. The main focus is placed on the influence of...
Persistent link: https://www.econbiz.de/10005155306
This paper presents US and euro area estimates for a fully heterogeneous model, in which there is a continuum of f rms setting prices with a constant probability of adjustment, which may differ from f rm to f rm. The estimated model accurately matches the empirical distribution function of...
Persistent link: https://www.econbiz.de/10008495180
The introduction of euro banknotes and coins in Spain on January 2002 led to the conversion into euros of peseta denominated prices. The changeover should have been neutral with respect to price levels, although some factors, such as menu costs, overhead costs or use of attractive prices, led to...
Persistent link: https://www.econbiz.de/10004981599