NATIONAL BUREAU OF ECONOMIC RESEARCH
NATIONAL BUREAU OF ECONOMIC RESEARCH

Price Stickiness in Ss Models: New Interpretations of Old Results

Ricardo J. Caballero, Eduardo M.R.A. Engel

NBER Working Paper No. 12945
Issued in March 2007

---- Acknowledgements -----

Respectively: caball@mit.edu; eduardo.engel@yale.edu. We thank Ruediger Bachmann, Olivier Blanchard,Bill Brainard, Mike Golosov, Oleksy Kryvtsov, John Leahy, Virgiliu Midrigan, and participants at the Conference on "Microeconomic Adjustment and Macroeconomic Dynamics" (Study Center Gerzensee, October 20, 2006); the New York Workshop on Monetary Economics (NY Fed, November 17, 2006), and the Duke macroeconomics workshop for helpful comments on an earlier draft of this paper (September, 2006) titled "Price Stickiness in Ss Models: Basic Properties." The authors thank the NSF for financial support. The views expressed herein are those of the author(s) and do not necessarily reflect the views of the National Bureau of Economic Research.

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