Positive Trend Inflation in the New Keynesian Model | Considering different forms of state-dependent price-setting frequency and different versions of the Taylor rule

Katrin Heinrichs

ISBN 10: 3838135245 / ISBN 13: 9783838135243

Published by Südwestdeutscher Verlag für Hochschulschriften, 2016

Positive Trend Inflation in the New Keynesian Model | Considering different forms of state-dependent price-setting frequency and different versions of the Taylor rule | Katrin Heinrichs | Taschenbuch | 468 S. | Englisch | 2016 | Südwestdeutscher Verlag für Hochschulschriften | EAN 9783838135243 | Verantwortliche Person für die EU: preigu GmbH & Co. KG, Lengericher Landstr. 19, 49078 Osnabrück, mail[at]preigu[dot]de | Anbieter: preigu. Seller Inventory # 104670059

Synopsis:

In this book, a baseline New Keynesian model is linearised around a possibly positive trend inflation rate. The trend inflation, i.e. target inflation rate, is brought about either by a forward-looking or contemporaneous Taylor rule. The model is based on the assumption of strategic complementarity in price-setting. Steady-state, determinacy and model dynamics are analysed. A focus is on different versions of trend-inflation dependent price-setting frequencies. Like in many other studies, welfare considerations do not justify an inflation target considerably above zero. It appears, however, that higher price-flexibility favours a slightly higher target. Overall, price-setting frequency is of considerable importance for the results.

About the Author: Katrin Heinrichs obtained a B.Sc. and M.Sc. in Economics at Otto von Guericke University Magdeburg. She works at FernUniversität Hagen, where she obtained her Ph.D. in Economics in 2014.

Bibliographic Details

Title: Positive Trend Inflation in the New ...
Publisher: Südwestdeutscher Verlag für Hochschulschriften
Publication Date: 2016
Binding: Taschenbuch
Condition: Neu