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Journal ArticleDOI

Staggered prices in a utility-maximizing framework

Guillermo A. Calvo
- 01 Sep 1983 - 
- Vol. 12, Iss: 3, pp 383-398
TLDR
In this article, the authors developed a model of staggered prices along the lines of Phelps (1978) and Taylor (1979, 1980), but utilizing an analytically more tractable price-setting technology.
About
This article is published in Journal of Monetary Economics.The article was published on 1983-09-01. It has received 8580 citations till now. The article focuses on the topics: Nominal rigidity & Taylor rule.

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Citations
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Exchange and interest rate channels during a deflationary era : evidence from Japan, Hong Kong and China

TL;DR: This article examined the role of exchange and interest rate channels during recent deflation episodes in Japan, Hong Kong and China, and found that exchange rate shocks have a statistically significant impact on prices, which could also be interpreted as providing weak support for suggestions to depreciate the currency to escape a liquidity trap.
Journal ArticleDOI

Some Unpleasant Properties of Loglinearized Solutions When the Nominal Rate is Zero

TL;DR: This paper showed that employment increases when the labour tax rate is cut and the government purchase multiplier is less than 1.05 for a range of empirically relevant parameterizations, and that the implications of the New Keynesian model on the economy at the zero bound may not be all that different from its implications for policy away from it.
Posted Content

Natural Rate Doubts

TL;DR: In this paper, the authors study the low frequency comovements in unemployment, inflation and the federal funds rate in the U.S. from 1970 through 1979 and show that the source of the inflation buildup in the 1970's was a downward drift in the real interest rate that was translated into a simultaneous increase in unemployment and inflation by passive Fed policy.

Rational Expectations, the Optimal Monetary Instrument, and the Optimal Money Supply Rule: Working Paper No. 25

TL;DR: In this article, alternative monetary policies are analyzed in an ad hoc macroeconomic model in which the public's expectations about prices are rational, and it turns out that the probility distribution of output is independent of the particular deterministic money supply rule in effect.

Oil Shocks and Monetary Policy in an Estimated DSGE Model for a Small Open Economy

TL;DR: In this paper, a modelo estocastico de equilibrio general dinamico (DSGE) estimado by metodos Bayesianos for la economia Chilena is presented.
References
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Book

The Theory of Matrices

TL;DR: In this article, the Routh-Hurwitz problem of singular pencils of matrices has been studied in the context of systems of linear differential equations with variable coefficients, and its applications to the analysis of complex matrices have been discussed.
Journal ArticleDOI

Aggregate Dynamics and Staggered Contracts

TL;DR: In this article, the authors show that staggered wage contracts as short as 1 year are capable of generating the type of unemployment persistence which has been observed during postwar business cycles in the United States.
Journal ArticleDOI

"Rational" Expectations, the Optimal Monetary Instrument, and the Optimal Money Supply Rule

TL;DR: In this paper, alternative monetary policies are analyzed in an ad hoc macroeconomic model in which the public's expectations about prices are rational, and it turns out that the probility distribution of output is independent of the particular deterministic money supply rule in effect.
Book

Public Investment, the Rate of Return, and Optimal Fiscal Policy

TL;DR: In this paper, a theory of "controllability" is developed and injected into public economics and growth models to analyze optimal public expenditures in the context of modern growth theory, and a model of optimal growth with public capital is proposed.
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