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The paper studies the effects of credible disinflation in the presence of real wage rigidity, comparing the Calvo and Rotemberg price setting mechanisms (the two popular variants of the New-Keynesian model). In both types of models, a credible, gradual disinflation is shown to lead to a delayed...
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estimates of downward real and nominal wage rigidity for Hungary. Results suggest that nominal rigidity is more prominent in … Hungary than real rigidity. When compared to other countries participating in the IWFP, Hungary ranks among the countries with … the lowest degree of downward real rigidity. The estimated downward nominal rigidity for Hungary is higher, the measure is …
Persistent link: https://www.econbiz.de/10009380436
estimates of downward real and nominal wage rigidity for Hungary. Results suggest that nominal rigidity is more prominent in … Hungary than real rigidity. When compared to other countries participating in the IWFP, Hungary ranks among the countries with … the lowest degree of downward real rigidity. The estimated downward nominal rigidity for Hungary is higher, the measure is …
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