a consequence, to forecast inflation. The study is a continuation of previous simulation experiments performed on a …

between inflation and output stability. While the comovement of price dispersion and inflation implied by standard models is … the data, the comovement of price dispersion and inflation turns positive. Nevertheless, I show that a wide variety of …In macroeconomic models, the level of price dispersion - which is typically approximated through its relationship with …

frequency vector autoregression (VAR). It shows that potential causalities for inflation, relative price variability, relative …This paper investigates the dynamic interactions of the cross-section distribution of sectoral price changes and the … price skewness, and output growth can be successfully detected by the MFVAR. The cross-section distribution of sectoral …

predictions about the level of price dispersion, as well as about its dynamic properties and sensitivity to inflation. These …From a macroeconomic perspective, price rigidity is often perceived to be an important source of price dispersion, with …. For instance, in standard New Keynesian models, the key cost of business cycles stems from the price dispersion resulting …

, and because it implies a large fall in the standard deviation of price adjustments as trend inflation increases. Even …In this paper, we show that a simple model of smoothly state-dependent pricing generates a distribution of price … adjustments similar to that observed in microeconomic data, both for low and high inflation. Our setup is based on one fundamental …

inflation we might end up with price increases independent of the inflation rate. The purpose of this teaching note is to … present an approach to estimate nominal price increases examining historical nominal prices and inflation rates. This way we … material, labor, overhead, etc.), cost of future debt, and others. If we set nominal price increases without a proper link to …

we know about the price-setting behavior of firms, income distribution, and inflation. We do that in juxtaposition to two …The post-pandemic surge in inflation was accompanied by a surge in the corporate share of profits. As a result, several … economists and policy makers have given to it names such as "profit-led inflation" or "sellers' inflation." The present paper …