Inflation and the distribution of relative prices: The role of productivity and money supply shocks

Journal of Money, Credit and Banking

Volumn 38, Issue 8, 2006, Pages 2159-2198

  Lastrapes, William D ^a  

^a UNIVERSITY OF GEORGIA   (United States)

Author keywords

Monetary neutrality; Relative price dispersion; VAR

Indexed keywords

EID: 33845750213     PISSN: 00222879     EISSN: None     Source Type: Journal    
DOI: 10.1353/mcb.2007.0003     Document Type: Review

References (38)

1. Backhouse, Roger E. (2002). The Ordinary Business of Life: A History of Economics from the Ancient World to the Twenty-first Century. Princeton and Oxford: Princeton University Press.
2. Balke, Nathan S., and Mark A. Wynne (2007). "The Relative Price Effects of Monetary Shocks." Journal of Macroeconomics, forthcoming.
3. Ball, Laurence, and N. Gregory Mankiw (1995). "Relative-Price Changes as Aggregate Supply Shocks." Quarterly Journal of Economics 110, 161-193.
4. Barth, Marvin J., III, and Valerie A. Ramey (2001). "The Cost Channel of Monetary Transmission." NBER Macroeconomics Annual. Cambridge: MIT Press.
5. Blanchard, Olivier J., and Danny Quah (1989). "The Dynamic Effects of Aggregate Demand and Supply Disturbances." American Economic Review 79, 655-673.
6. Bordo, Michael D. (1980). "The Effects of Monetary Change on Relative Commodity Prices and the Role of Long-term Contracts." Journal of Political Economy 88, 1088-1109.
7. Boschen, John F., and Len O. Mills (1995). "Tests of Long-run Neutrality Using Permanent Monetary and Real Shocks." Journal of Monetary Economics 35, 25-44.
8. Bullard, James (1999). "Testing Long-run Monetary Neutrality Propositions: Lessons from the Recent Research." St. Louis Federal Reserve Bank Review 81, 57-78.
9. Calvo, Guillermo (1983). "Staggered Prices in a Utility-Maximizing Framework." Journal of Monetary Economics 12, 383-398.
10. Carlino, Gerald, and Robert Defina (1998). "The Differential Regional Effects of Monetary Policy." The Review of Economics and Statistics 80, 572-587.
11. Christiano, Lawrence J., Martin Eichenbaum, and Charles L. Evans (1999). "Monetary Policy Shocks: What Have We Learned and To What End?" In Handbook of Macroeconomics, Vol. 1A, edited by John B. Taylor and Michael Woodford, pp. 65-145. Amsterdam: North-Holland.
12. Coe, Patrick J., and James M. Nason (2004). "Long-run Monetary Neutrality and Long-Horizon Regressions." Journal of Applied Econometrics 19, 355-373.
13. Cushman, David O., and Tao Zha (1997). "Identifying Monetary Policy in a Small Open Economy under Flexible Exchange Rates." Journal of Monetary Economics 39, 433-448.
14. Debelle, Guy, and Owen Lamont (1997). "Relative Price Variability and Inflation: Evidence from US Cities." Journal of Political Economy 105, 132-152.
15. Fischer, Stanley (1981). "Relative Shocks, Relative Price Variability, and Inflation." Brookings Papers on Economic Activity 1981, 381-431.
16. Fisher, Mark E., and John J. Seater (1993). "Long-run Neutrality and Superneutrality in an ARIMA Framework." American Economic Review 83, 402-415.
17. Francis, Neville, Michael T. Owyang, and Athena T. Theodorou (2003). "The Use of Long-run Restrictions for the Identification of Technology Shocks." Federal Reserve Bank of St. Louis Review 85, 53-66.
18. Gali, Jordi (1999). "Technology, Employment, and the Business Cycle: Do Technology Shocks Explain Aggregate Fluctuations?" American Economic Review 89, 249-271.
19. Gali, Jordi, J. David López-Salido, and Javier Vallés (2003). "Technology shocks and monetary policy: assessing the Fed's performance." Journal of Monetary Economics 50, 723-743.
20. Glejser, Herbert (1965). "Inflation, Productivity, and Relative Prices: A Statistical Study." Review of Economics and Statistics 47, 76-80.
21. Graham, Frank D. (1930). Exchange, Prices, and Production in Hyper-inflation: Germany, 1920-23. Princeton, NJ: Princeton University Press.
22. Hamilton, James D. (1994). Time Series Analysis. Princeton: Princeton University Press.
23. Hercowitz, Zvi (1982). "Money and Price Dispersion in the United States." Journal of Monetary Economics 10, 25-37.
24. Keating, John W. (2002). "Structural Inference with Long-run Recursive Empirical Models." Macroeconomic Dynamics 6, 266-283.
25. King, Robert, and Mark Watson (1997). "Testing Long-run Neutrality." Federal Reserve Bank of Richmond Economic Quarterly 83, 60-101.
26. Lastrapes, William D. (2005). "Estimating and Identifying Vector Autoregressions under Diagonality and Block Exogeneity Restrictions." Economics Letters 87, 75-81.
27. Lastrapes, William D., and W. Douglas McMillin (2004). "Cross-Country Variation in the Liquidity Effect: The Role of Financial Markets." The Economic Journal 114, 890-915.
28. Lucas, Robert E., Jr. (1973). "Some International Evidence on Output-Inflation Tradeoffs." American Economic Review 63, 326-334.
29. Lucas, Robert E., Jr. (1996). "Nobel Lecture: Monetary Neutrality." Journal of Political Economy 104, 661-682,
30. McMillin, W. Douglas (2001), "The Effects of Monetary Policy Shocks: Comparing Contemporaneous versus Long-run Identifying Restrictions." Southern Economic Journal 67, 618-636.
31. Mills, Frederick C. (1927). The Behavior of Prices. New York: National Bureau of Economic Research.
32. Nath, Hiranya K. (2004). "Inflation and Relative Price Variability: Short-run vs. Long-run." Economics Letters 82, 363-369.
33. Parsley, David C. (1996). "Inflation and Relative Price Variability in the Short and Long Run: New Evidence from the United States." Journal of Money, Credit and Banking 28, 323-341.
34. Rotemberg, Julio (1982). "Monopolistic Price Adjustment and Aggregate Output." Review of Economic Studies 49, 517-531.
35. Shapiro, Matthew, and Mark Watson (1988). "Sources of Business Cycle Fluctuations." In NBER Macroeconomics Annual, edited by Stanley Fischer, pp. 111-148. Cambridge: The MIT Press.
36. Spiegel, Henry W. (1971). The Growth of Economic Thought. Englewood Cliffs, NJ: Prentice-Hall, Inc.
37. Vining, Daniel R., Jr., and Thomas C. Elwertowski (1976). "The Relationship between Relative Prices and the General Price Level." American Economic Review 66, 699-708.
38. Woodford, Michael (2003). Interest & Prices: Foundations of a Theory of Monetary Policy. Princeton, NJ: Princeton University Press.