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Wirtschaftswissenschaftliche Fakultät, Universität Passau >
Passauer Diskussionspapiere, Volkswirtschaftliche Reihe, Universität Passau >
Please use this identifier to cite or link to this item:
http://hdl.handle.net/10419/55002
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Full metadata record
| DC Field | | Value | | Language |
| dc.contributor.author | | Graf Lambsdorff, Johann | | en_US |
| dc.contributor.author | | Schubert, Manuel | | en_US |
| dc.contributor.author | | Giamattei, Marcus | | en_US |
| dc.date.accessioned | | 2012-01-27 | | en_US |
| dc.date.accessioned | | 2012-02-03T15:36:24Z | | - |
| dc.date.available | | 2012-02-03T15:36:24Z | | - |
| dc.date.issued | | 2011 | | en_US |
| dc.identifier.uri | | http://hdl.handle.net/10419/55002 | | - |
| dc.description.abstract | | We carry out an experiment on a macroeconomic price setting game where prices are complements. Despite relevant information being common knowledge and price flexibility we observe significant deviation from equilibrium prices and history dependence. In a first treatment we observe that equilibrium values were obtained in the long run but at the cost of a very slow adjustment and thus history dependence. By reporting a business indicator in a simpler form, subjects were given the chance to coordinate their prices by help of a heuristic in a second treatment. This option was widely taken, bringing about excess volatility and a deviation from equilibrium even in the long run. In a third treatment with staggered pricing we observe, contrary to theoretical predictions, the one-round ahead (publicly known) shock is significant, but future inflation is not. Our findings cast light on price dynamics when subjects have limited computational capacities. | | en_US |
| dc.language.iso | | eng | | en_US |
| dc.publisher | | Univ. Passau, Wirtschaftswiss. Fak. Passau | | en_US |
| dc.relation.ispartofseries | | Passauer Diskussionspapiere: Volkswirtschaftliche Reihe V-63-11 | | en_US |
| dc.subject.jel | | E31 | | en_US |
| dc.subject.jel | | C92 | | en_US |
| dc.subject.ddc | | 330 | | en_US |
| dc.subject.keyword | | Inflation Persistence | | en_US |
| dc.subject.keyword | | Staggered Prices | | en_US |
| dc.subject.keyword | | Sticky Reasoning | | en_US |
| dc.subject.keyword | | New Keynesian Phillips Curve | | en_US |
| dc.title | | On the role of heuristics: Experimental evidence on inflation dynamics | | en_US |
| dc.type | | Working Paper | | en_US |
| dc.identifier.ppn | | 684346729 | | en_US |
| dc.rights | | http://www.econstor.eu/dspace/Nutzungsbedingungen | | en_US |
| dc.identifier.repec | | RePEc:zbw:upadvr:V6311 | | - |
| Appears in Collections: | | Passauer Diskussionspapiere, Volkswirtschaftliche Reihe, Universität Passau
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