This paper uncovers a striking empirical regularity: the consumer price of a good relative to a different good within a … country tends to be much less variable than the price of that good relative to a similar good in another country. This fact …

by the elimination of the exchange rate as a source of shocks, in combination with faster adjustment in national price … relative price adjustment …

rate. Multiple margins of adjustment (frequency of price changes, direction of price changes, size of price changes, exit … our dataset to show that degree of competition, stickiness of prices, synchronization of price changes, reputation of … sellers, and returns to search effort are important determinants of pass-through and speed of price adjustment for …

Changes in the price of nontradable goods relative to tradable goods account for roughly 50 percent of the cyclical …

exchange rate and by the cross-country heterogeneity in the distribution of within-country price differentials. We develop a … simple framework to separate the border effect from these confounding factors. Using price data from Engel and Rogers (1996 …

The PPP puzzle is based on empirical evidence that international price differences for individual goods (LOOP) or … baskets of goods (PPP) appear highly persistent or even non-stationary. The present consensus is these price differences have … transportation and transaction costs appear so low as to encourage arbitrage and the convergence of price gaps over much shorter …

coffee price changes, with more observers emphasizing the consequences of coffee price changes on money creation and … inflation. The results obtained indicate that coffee price changes have indeed been closely related to money creation and … inflation. Also, coffee price changes have been negatively related to the rate of devaluation of the crawling peg. These results …

explained solely by nominal rigidities has long been a puzzle (Rogoff, 1996). Another puzzle from the micro price evidence of … the law of one price (LOP), which is the basic building block of PPP, is that LOP deviations are less persistent than PPP … two-country sticky-price model. We propose a simple test of behavioral inattention and find strong evidence in its favor …