This paper estimates the production technology of the U.S. computer industry using firm market value to control for the correlation between inputs and unobservable productivity shocks. We show that firm market value can serve as a proxy for unobservable productivity shocks. We also show that...

This paper studies the role of government expenditure in shaping inflation dynamics via the lens of the Phillips curve. We estimate the Phillips curve implied from a structural New Keynesian model that incorporates government expenditure using aggregate US data. Our estimation results based on...