This paper compares sticky-price and sticky-information model under a more general staggering price-setting scheme … that, without strategic complementarity in the price-setting, two models generate similar inflation dynamics. The … distribution of price durations dominates the shape of impulse response in both models. Furthermore, with strategic complementarity …

Recent New Keynesian models of macroeconomy view nominal cost rigidities, rather than nominal price rigidities, as the … for the U.S. This paper applies Kryvtsov and Midrigan's model to the case of Canada. The model predicts that if costs of …

Macroeconomists have traditionally ignored the behavior of temporary price markdowns ("sales") by retailers. Although … sales are common in the micro price data, they are assumed to be unrelated to macroeconomic phenomena and generally filtered … out. We challenge this view. First, using the 1996 - 2012 data set of the U.K. CPI monthly price quotes, we document a …

(above) the average. Using detailed micro-level consumer price data for the United Kingdom, the United States and Canada, we … for around 36% of inflation variance in the United Kingdom and the United States, and 28% in Canada. Price selection is …We propose a simple, model-free way to measure price selection and its impact on inflation. Price selection exists when …

We propose a price-setting model which helps reconcile microeconomic evidence of relatively frequent and large price … changes with persistent real effects of monetary shocks. In our model, both price adjustments and the gathering of some types … information is costly, our estimated model is able to match individual price-setting statistics for the U.S. and, at the same time …

This introductory essay briefly summarizes the eleven empirical studies of price setting and price adjustment that are …

This paper provides a summary of current knowledge on inflation persistence and price stickiness in the euro area … in the degree of price stickiness; iv) Price decreases are not uncommon. The paper also investigates some of the policy …

This introductory essay briefly summarizes the eleven empirical studies of price setting and price adjustment that are …