Is it desirable that central banks be more transparent in the communication of sensible information when agents have diverse private information? In practice, there exists some consensus about the benefits of acting in this way. However, other studies warn that increasing the precision of public...

When the exchange rate fluctuates and the market exhibits hysteresis, planning horizons of domestic and foreign competitors will matter in determining pass-through as well as relative market shares of these firms. Using the Cournot duopoly model, it is shown that if the foreign exporter is a...

Using domestic and export price data and a framework of markup over cost, pricing behavior of U.S. and Japanese manufacturers is compared. Major export industries in Japan have higher productivity growth and lower pass-through coefficients than American exporters, who tend to price to domestic...

This paper provides a monetary model with nominal rigidities that differs from the conventional New Keynesian model with firms setting pricing policies instead of price levels. In response to permanent or highly persistent monetary policy shocks this model generates the empirically observed slow...

A firm faces random demand for a service it delivers on a given future date. To boost demand, the firm hires a sales agent who exerts unobservable effort continuously over time. The firm is concerned not only with increasing current demand, but also with smoothing demand over time to avoid...

With the rise of the digital economy and the depression in the travel industry due to the Covid-19 pandemic, the feasibility and profitability of innovative products on digital platforms, such as probabilistic selling, have garnered significant public attention. This paper utilizes a Salop...