The purpose of the present study is to explore the specific contributions of variousnominal and real rigidities in monetary DGE models in a systematic way and ina common framework. I will concentrate on a quite simple model setup in orderto find out the important transmission mechanisms at work....

The thesis analyzes monetary and labor policies under different market frictions. In the first part several versions of a microfounded dynamic general equilibrium model with monopolistic competitors in the product and/or labor market are derived and simulated. First of all, the monetary...