Downward Nominal Wage Rigidity, Currency Pegs, and Involuntary Unemployment

By Stephanie Schmitt-Grohé, Martin Uribe. Journal of Political Economy, 2016

459 citations recorded by the source corpus.

View Paper: https://www.semanticscholar.org/paper/76ae0572631d8131c9fab196e3aaa5ca09bc49cb

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Citations in the corpus

Fraudulent Income Overstatement on Mortgage Applications During the Credit Expansion of 2002 to 2005 (2017, unknown): “In the model of Schmitt-Grohé and Uribe (2016), there is an exogenous decline in the interest rate facing borrowers in a country that leads to boom in household borrowing.”
Capital Controls: Theory and Evidence (2019, unknown): “Similarly, Schmitt-Grohé and Uribe (2016) show that fixed exchange rates and nominal wage stickiness give rise to aggregate demand externalities that may motivate capital controls.”
Optimal Time-Consistent Macroprudential Policy (2017, background): “In particular, Schmitt-Grohé and Uribe (2014) and Farhi and Werning (2016) examine the scope for macroprudential policy as a tool for smoothing aggregate demand in the presence of nominal rigidities.”
Cash and the Economy: Evidence from India’s Demonetization* (2018, unknown): “An important friction in the labor market is downward nominal wage rigidity as in Schmitt-Grohé and Uribe (2016) and owing to which equilibrium employment can fall short of inelastically supplied labor and give rise to involuntary unemployment.”
How Does Credit Supply Expansion Affect the Real Economy? The Productive Capacity and Household Demand Channels (2020, unknown): “This section is motivated by the idea that such a boost to household demand may ultimately prove short-lived, and in fact may predict a subsequent downturn when credit supply contracts (see, e.g., Schmitt-Grohé and Uribe (2016), Korinek and Simsek (2016), and Farhi and Werning (2015)).”
Pecuniary Externalities in Economies with Financial Frictions (2016, unknown): “See e.g. Farhi and Werning (2016), Korinek and Simsek (2016) and Schmitt-Grohé and Uribe (2016).”
A Model of the Twin Ds: Optimal Default and Devaluation (2015, unknown): “And we extend this literature by merging it with the literature on optimal exchange-rate policy (e.g., Gal´ı and Monacelli, 2005; Kollmann, 2002; and Schmitt-Groh´e and Uribe, 2013).”