Muto, Ichiro; Sudo, Nao; Yoneyama, Shunichi - Centre pour la Recherche Économique et ses … - 2013
The lost decades following the bubble burst in 1991 has been accompanied by slowdown of total factor productivity (TFP) growth in Japan. What has driven the TFP down, however, remains a puzzle. To address this question, we develop a New Keynesian sticky price model that is designed to...