the special case in which prices are sticky and wages are perfectly flexible. When the model is calibrated to exhibit an …

If price levels are initially different across the euro area, convergence to a common level of prices would imply that … inflation will be higher in countries where prices are initially low. Price level convergence thus provides a potential … between 1990 and 1999 prices did become less dispersed in the euro area. Convergence is especially evident for traded goods …

-optimal equilibrium that would occur under completely flexible wages and prices; that is, the model exhibits a tradeoff between … stabilizing the output gap, price inflation, and wage inflation. The Pareto optimum is attainable only if either wages or prices …

aggregate price level and to demonstrate econometrically its equivalence to the exogeneity of relative prices with respect to … role for supply-side disturbances in explaining comovements in aggregate and relative prices. …

suggest that the role of income and prices in determining imports is not known with any precision. This paper offers the first …-1992 data, I find that income and prices do not affect imports whereas the opposite conclusion arises with postwar data. The …Virtually all we know about the behavior of U.S. imports rests on studies estimating income and price elasticities with …

I use disaggregated U.S. data from 1978 to 1988 to examine the impact of changes in the prices of imported manufactured … goods on corresponding domestic prices--the "competing goods effect." I use an econometric specification which allows for … of scale. ; I find that the impact of import prices on domestic prices varies substantially by industry, with …

patterns in export prices at the level of products or firms. In this paper, a unified theoretical framework of firm … heterogeneity in cost and quality is brought to bear on an expansive data set of U.S. import transaction prices collected by the …