Heterogeneity in Price Stickiness and the Real Effects of Monetary Shocks

By Carlos M. Carvalho. 2006

343 citations recorded by the source corpus.

View Paper: https://www.semanticscholar.org/paper/9ed453e7b0ee5f26051793df2eb6d958b896519f

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In Economics and Econometrics

Citations in the corpus

Empirical Evidence on Inflation Expectations in the New Keynesian Phillips Curve (2014, background): “Building on Carvalho (2006), they show that heterogeneity of (Calvo) price rigidity across economic sectors can bias estimates of average price rigidity upwards and bias estimates of the slope of the aggregate NKPC toward zero.”
Inattentive professional forecasters (2013, positive): “Lastly, columns (4) and (5) present models 29Due to the heterogeneity in λi we document in Section 3.5., and following the argument in Carvalho (2006) in the case of the frequency of price adjustment, our estimation of the average attention rate may be prone to an aggregation bias.”
Are Sticky Prices Costly? Evidence from the Stock Market (2016, positive): “To this end, we use the Calvo (1983) model, the workhorse framework for monetary analyses, and enrich it with heterogeneous frequency of price adjustment as in Carvalho (2006).”
Can aggregation explain the persistence of inflation (2009, methodology): “20See also the presentation of similar exercises in the context of micro-founded model, though on hypothetical distribution by Carvalho (2006).”
The propagation of monetary policy shocks in a heterogeneous production economy (2018, background): “In this economy, sectoral heterogeneity in price stickiness amplifies monetary non-neutrality, as in Carvalho (2006) and Carvalho and Schwartzman (2015).”
Real Rigidities and Nominal Price Changes (2006, neutral): “See also Carvalho (2006).”
Optimal Monetary Stabilization Policy (2010, background): “(Figure 2 illustrates the difference between the time paths of the deterministic component of inflation under the two policies, in a numerical example.(15)) This is the much-discussed “inflationary bias” of discretionary monetary policy.”
Firm-specific capital, nominal rigidities and the business cycle (2011, neutral): “A different propagation mechanism stems from heterogeneity across sectors in the frequency of price changes (see for example Bils and Klenow, 2004; Carvalho, 2006 and Nakamura and Steinsson, 2008) and the presence of intermediate inputs (see for example Basu, 1997 and Huang, 2006).”