BIBLIOTECA MANUEL BELGRANO - Facultad de Ciencias Económicas - UNC

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Monetary policy and core inflation / Michele Lenza.

Por: Tipo de material: TextoTextoSeries Discussion paper (Deutsche Bundesbank). Series 1: economic studies ; no. 35/2007Detalles de publicación: Frankfurt am Main : Deutsche Bundesbank, 2007Descripción: 44 pISBN:
  • 9783865583710
Tema(s): Clasificación CDD:
  • 21 332.41
Resumen: This paper studies optimal monetary policy responses in an economy featur-ing sectorial heterogeneity in the frequency of price adjustments. It shows that acentral bank facing heterogeneous nominal rigidities is more likely to behave less aggressively than in a fully sticky economy. Hence, the supposedly excessive cau-tion in the conduct of monetary policy shown by central banks could be partlyexplained by the existence of a relevant sectorial dispersion in the frequency of price adjustments.

Bibliografía: p. 21-22.

This paper studies optimal monetary policy responses in an economy featur-ing sectorial heterogeneity in the frequency of price adjustments. It shows that acentral bank facing heterogeneous nominal rigidities is more likely to behave less
aggressively than in a fully sticky economy. Hence, the supposedly excessive cau-tion in the conduct of monetary policy shown by central banks could be partlyexplained by the existence of a relevant sectorial dispersion in the frequency of
price adjustments.

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