Macroeconomic model reference

Sticky-Price Model

A model where a fraction of firms cannot adjust prices each period, generating a short-run aggregate supply curve that slopes upward and monetary non-neutrality.

Theory-based models · Derivation

Sticky-Price derivation: assumptions and equations

Trace the Sticky-Price derivation through assumptions, notation, equations, and failure cases.

Macro by Mark

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Sticky-Price derivation: assumptions and equations

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