Showing 1 - 2 of 2
Persistent link: https://www.econbiz.de/10001408465
The analysis in Ball and Romer [1991] suggests that models with fixed costs of changing price may be rife with multiple equilibria; in their static model price adjustment is always characterized by strategic complementarity, a necessary condition for multiplicity. We extend Ball and Romer's...
Persistent link: https://www.econbiz.de/10013097470