Optimal monetary policy with endogenous entry and product variety

Date

2014

Authors

Bilbiie, Florin O
Fujiwara, Ippei
Ghironi, Fabio

Journal Title

Journal ISSN

Volume Title

Publisher

Elsevier

Abstract

Deviations from long-run price stability are optimal in the presence of endogenous entry and product variety in a sticky-price model in which price stability would be optimal otherwise Long-run inflation (deflation) is optimal when the benefit of variety

Description

Keywords

Keywords: Entry; Optimal inflation rate; Price stability; Product variety; Ramsey-optimal monetary policy

Citation

Source

Journal of Monetary Economics

Type

Journal article

Book Title

Entity type

Access Statement

License Rights

Restricted until

2037-12-31