We study the implications of having different sources of nominal rigidities on the relationship between productivity growth and shocks volatility in a model with procyclical R&D and imperfect competition in goods and labour markets. We show that the effects of uncertainty on long-term growth not only depends on the source of fluctuations, as recent literature shows, but also, and crucially, on whether prices and/ or wages are rigid. © 2013 Oxford University Press. All rights reserved.
Annicchiarico, B., Pelloni, A. (2014). Productivity growth and volatility: how important are wage and price rigidities?. OXFORD ECONOMIC PAPERS, 66(1), 306-324 [10.1093/oep/gpt013].
Productivity growth and volatility: how important are wage and price rigidities?
Annicchiarico, Barbara
Formal Analysis
;
2014-01-01
Abstract
We study the implications of having different sources of nominal rigidities on the relationship between productivity growth and shocks volatility in a model with procyclical R&D and imperfect competition in goods and labour markets. We show that the effects of uncertainty on long-term growth not only depends on the source of fluctuations, as recent literature shows, but also, and crucially, on whether prices and/ or wages are rigid. © 2013 Oxford University Press. All rights reserved.I documenti in IRIS sono protetti da copyright e tutti i diritti sono riservati, salvo diversa indicazione.
