%0 Journal Article
%T The role of relative prices in a generalized new keynesian Phillips curve
%A Hern¨˘ndez
%A K¨Žlver
%J EconoQuantum
%D 2008
%I Scientific Electronic Library Online
%X recent literature attributes a very large fraction of the inflation volatility to "cost-push shocks." this paper develops and estimates a microfounded dsge model that features a first-order role for relative-price dynamics. a measure of relative price disalignments appears in the new keynesian phillips curve (nkpc) of the model, resembling a cost-push shock. impulse response analysis suggests that an alternative interpretation to the effects of exogenous cost-push shocks in the nkpc relies on the endogenous response of relative prices to exogenous shocks that perturb them.
%K relative prices
%K inflation dynamics
%K output fluctuations.
%U http://www.scielo.org.mx/scielo.php?script=sci_abstract&pid=S1870-66222008000200003&lng=en&nrm=iso&tlng=en