We offer new evidence on the link between price points and price rigidity using two datasets. One is a large weekly transaction price dataset, covering 29 product categories over an eight-year period from a large U.S. supermarket chain. The other is from the Internet, and includes daily prices...

Analyzing a large weekly retail transaction price dataset, we uncover a surprising regularity—small price increases occur more frequently than small price decreases for price changes of up to about 10 cents, while there is no such asymmetry for larger price changes. The asymmetry holds for the...

Discussion of "Lumpy Price Adjustments: A Microeconometric Analysis" by Emmanuel Dhyne, Catherine Fuss, Hashem Pesaran, and Patrick Sevestre (2007); Presented at the Spring 2007 Conference of the Deutsche Bundesbank and the Banque De France on "Micro-Data and Macroeconomic Implications," April...

If producers have more information than consumers about goods’ attributes, then they may use non-price (rather than price) adjustment mechanisms and, consequently, the market may reach a new equilibrium even if prices remain sticky. We study a situation where producers adjust the quantity (per...

This is a discussion of Ratfai (2007), presented at the 2007 Macroeconomics Workshop of the Rimini Center for Economic Analysis on "The Macroeconomics of Price Setting," May 10-11, 2007, University of Bologna, Rimini, Italy.

Discussion of "The Pricing Behavior of Firms in the Euro Area: New Survey Evidence" by S. Fabiani, M. Druant, I. Hernando, C. Kwapil, B. Landau, C. Loupias, F. Martins, T. Mathä, R. Sabbatini, H. Stahl, and A. Stockman (2004); Presented at the Inflation Persistence Network (IPN) Conference on...