RDP 2010-01: Reconciling Microeconomic and Macroeconomic Estimates of Price Stickiness References

Basu S (1995), ‘Intermediate Goods and Business Cycles: Implications for Productivity and Welfare’, American Economic Review, 85(3), pp 512–531.

Bils M and PJ Klenow (2004), ‘Some Evidence on the Importance of Sticky Prices’, Journal of Political Economy, 112(5), pp 947–985.

Blanchard OJ (2009), ‘The State of Macro’, Annual Review of Economics, 1(1), pp 209–228.

Blinder AS, ERD Canetti, DE Lebow and JB Rudd (1998), Asking About Prices: A New Approach to Understanding Price Stickiness, Russell Sage Foundation, New York.

Calvo GA (1983), ‘Staggered Prices in a Utility-Maximizing Framework’, Journal of Monetary Economics, 12(3), pp 383–398.

Carvalho C (2006), ‘Heterogeneity in Price Stickiness and the Real Effects of Monetary Shocks’, B.E. Journal of Macroeconomics, 2(1), Frontiers of Macroeconomics, Article 1.

Chari VV, PJ Kehoe and ER McGrattan (2009), ‘New Keynesian Models: Not Yet Useful for Policy Analysis’, American Economic Journal: Macroeconomics, 1(1), pp 242–266.

Christiano LJ, M Eichenbaum and CL Evans (2005), ‘Nominal Rigidities and the Dynamic Effects of a Shock to Monetary Policy’, Journal of Political Economy, 113(1), pp 1–45.

Dees S, MH Pesaran, LV Smith and RP Smith (2009), ‘Identification of New Keynesian Phillips Curves from a Global Perspective’, Journal of Money, Credit and Banking, 41(7), pp 1481–1502.

Dennis R (2006), ‘The Frequency of Price Adjustment and New Keynesian Business Cycle Dynamics’, Federal Reserve Bank of San Francisco Working Paper No 2006-22.

Galí J and M Gertler (1999), ‘Inflation Dynamics: A Structural Econometric Analysis’, Journal of Monetary Economics, 44(2), pp 195–222.

Golosov M and RE Lucas Jr (2007), ‘Menu Costs and Phillips Curves’, Journal of Political Economy, 115(2), pp 171–199.

Hamilton JD (1994), Time Series Analysis, Princeton University Press, Princeton.

Imbs J, E Jondeau and F Pelgrin (2007), ‘Aggregating Phillips Curves’, European Central Bank Working Paper Series No 785.

Ireland PN (2004), ‘Technology Shocks in the New Keynesian Model’, Review of Economics and Statistics, 86(4), pp 923–936.

Klenow PJ and O Kryvtsov (2008), ‘State-Dependent or Time-Dependent Pricing: Does It Matter for Recent U.S. Inflation?’, Quarterly Journal of Economics, 123(3), pp 863–904.

Kuttner K and T Robinson (forthcoming), ‘Understanding the Flattening Phillips Curve’, North American Journal of Economics and Finance.

Lindé J (2005), ‘Estimating New-Keynesian Phillips Curves: A Full Information Maximum Likelihood Approach’, Journal of Monetary Economics, 52(6), pp 1135–1149.

Mavroeidis S (2005), ‘Identification Issues in Forward-Looking Models Estimated by GMM, with an Application to the Phillips Curve’, Journal of Money, Credit and Banking, 37(3), pp 421–448.

Midrigan V (2007), ‘Menu Costs, Multi-Product Firms, and Aggregate Fluctuations’, Center for Financial Studies Working Paper No 2007/13.

Nakamura E and J Steinsson (2008), ‘Five Facts about Prices: A Reevaluation of Menu Cost Models’, Quarterly Journal of Economics, 123(4), pp 1415–1464.

Nakamura E and J Steinsson (2009), ‘Monetary Non-Neutrality in a Multi-Sector Menu Cost Model’, Columbia University, mimeo.

Pesaran MH and R Smith (1995), ‘Estimating Long-Run Relationships from Dynamic Heterogeneous Panels’, Journal of Econometrics, 68(1), pp 79–113.

Sbordone AM (2002), ‘Prices and Unit Labor Costs: A New Test of Price Stickiness’, Journal of Monetary Economics, 49(2), pp 265–292.

Schorfheide F (2008), ‘DSGE Model-Based Estimation of the New Keynesian Phillips Curve’, Federal Reserve Bank of Richmond Economic Quarterly, 94(4), pp 397–433.

Sims CA (2002), ‘Solving Linear Rational Expectations Models’, Computational Economics, 20(1–2), pp 1–20.