Bartolomeo, Giovanni Di; Tirelli, Patrizio; Acocella, Nicola - In: Empirica 40 (2013) 2, pp. 215-235
The paper shows that a monetary policy regime that allows for a positive inflation rate disciplines monopolistic wages setters if these, when setting contracts, internalize the consequences of their choices for economic outcomes over the life of the contract. We also show that discretionary...
