The classic models of staggered adjustment of Taylor and Blanchard takes the
frequency of price or wage adjustment as exogenous. This paper develops a
model in which the frequency of price changes in endogenous. It then uses
the model to analyze the effects of changes in the parameters of the economy
on the frequency of adjustment and the real effects of monetary shocks.
*Published:
Economics Letters, Vol. 32, pp. 205-210, March 1990.
You may purchase this paper on-line in .pdf format
from SSRN.com ($5) for electronic delivery.
Machine-readable bibliographic record -
MARC,
RIS,
BibTeX