[PDF] Top 20 Firm Specific Capital and the New Keynesian Phillips Curve

... The fact that an increase in demand in one part of the economy bids up the price of factor inputs throughout the economy creates a source of “strategic substitutability” between the pric[r] ... See full document

... This paper uses recent US data to estimate the new Keynesian Phillips curve (NKPC) with three modifications. Firstly, the variables in the NKPC are found to be nonstationary. Therefore, it is ... See full document

... the new Keynesian Phillips curve (NKPC) have discussed several issues concerning its specification and ...based new Keynesian Phillips curve (NKPC) and forward ... See full document

... New Keynesian DSGE model with a financial accelerator ...the Phillips curve in three ...the Phillips curve with respect to the output gap decreases because of a counter-cyclical ... See full document

... Because capital inflows were very large, given the fixed exchange rate during this period in Thailand, domestic companies may have had difficulties changing prices due to overseas pressure at that ... See full document

... of firm co-exist. One type of firm re-optimises as in the standard model: this is called forward ...of firm bases its decision on the recent history of aggregate price - so-called rule of thumb (RoT ... See full document

... the Phillips curve, which depends on the output gap and the past rates of inflation is adequate to explain the dynamics of ...the new Keynesian models based on inertia in price ... See full document

... this new information, while the remaining fraction θ of firms set their prices according to old ...a firm j sets its price in period t, it will set it to its optimal expected price according to the last ... See full document

... 1990s, New Keynesian models based on prices and wages rigidities and rational expectations have been widely acknowl- ...variables, New Keynesian Phillips Curve (NKPC) which is ... See full document

... city specific average number of hours worked in 2008 were backdated through the series, clearly labor supply and demand react to real wage changes over the course of the business ... See full document

... Run Phillips Curve but not short run Phillips curve which is not perfectly ...a firm to delay the decision to acquire infor- mation about the aggregate state and hence, aggregate price ... See full document

... the Phillips curve is derived from a dynamic stochastic general equilibrium (DSGE) model, and relates current inflation to inflation ex- pectations, lagged inflation, and real marginal cost or output ...The ... See full document

... The recent success of the NKPC can be attributed to Galí and Gertler (1999) and Galí et al. (2001), where the so-called ‘hybrid’ version of the Phillips curve is found to provide a ‘good first approximation’ ... See full document

... The recent success of the NKPC can be attributed to the papers by Galí and Gertler (1999) and Galí et al. (2001), where by the use of limited information methods, the so-called ‘hybrid’ version of the Phillips ... See full document

... a firm would be better off asking the probability that this demand was drawn from the expected ...the new demand distribution, we can plot this probability against the z,score of the particular mean ... See full document

... The source of log-linearised forward looking optimal wage equation comes from model (3) equation (3.28). Using the above equations, we are able to introduce a backward-looking element in[r] ... See full document

... the new Keynesian Phillips curve for ...hybrid new Keynesian Phillips curve and backward looking conventional Phillips curve are well determined, ... See full document

... the Phillips curve has been criticized for several reasons (Blanchflower and Oswald, 1989; Christofides and Oswald, ...wage curve, in which wage growth depends only on the change in unemployment and ... See full document

... We estimate a New Keynesian Phillips curve (NKPC) in Japan, focusing on the measurement of real marginal cost (RMC). Especially, we correct labor share by taking account of two kinds of labor ... See full document

... This paper is concerned with the estimation of New Keynesian Phillips Curves (NKPC) and focusses on two issues: the weak instrument problem and the characterisation of the steady states. It proposes ... See full document