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preference or more generally a demand shock. More recently two other explanations have been advocated: surprise changes in …
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preference or more generally a demand shock. More recently two other explanations have been advocated: surprise changes in …
Persistent link: https://www.econbiz.de/10012454968
This paper studies the role of endogenous producer entry and product creation for monetary policy analysis and business cycle dynamics in a general equilibrium model with imperfect price adjustment. Optimal monetary policy stabilizes product prices, but lets the consumer price index vary to...
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