Asymmetric (S,s) pricing: implications for monetary policy - Sciences Po Access content directly
Journal Articles Revue de l'OFCE Year : 2012

Asymmetric (S,s) pricing: implications for monetary policy

Abstract

This paper presents a model of asymmetric (S,s) pricing. We investigate implications of such a behavior for the effectiveness of the monetary policy. We discuss two types of asymmetric responses to monetary interventions. One is the symmetry in the responses to positive and negative monetary shocks. The other is the variance in responses to monetary shocks during booms and recessions. The conclusion is that first type of asymmetry can be attributed to the asymmetry in adjustment bands, while the second kind of asymmetry is a result of firm heterogeneity, and asymmetry of (S,s) bands does not contribute to it.
Fichier principal
Vignette du fichier
revueofce124-babu.pdf (436.79 Ko) Télécharger le fichier
Origin : Explicit agreement for this submission
Loading...

Dates and versions

hal-01053560 , version 1 (31-07-2014)

Licence

Attribution - NonCommercial - NoDerivatives

Identifiers

Cite

Zakaria Babutsidze. Asymmetric (S,s) pricing: implications for monetary policy. Revue de l'OFCE, 2012, 124, pp.177-204. ⟨10.3917/reof.124.0177⟩. ⟨hal-01053560⟩
67 View
138 Download

Altmetric

Share

Gmail Facebook X LinkedIn More