Countercyclical Markups and News-Driven Business Cycles

B-Tier
Journal: Review of Economic Dynamics
Year: 2013
Volume: 16
Issue: 2
Pages: 371-382

Score contribution per author:

1.005 = (α=2.01 / 2 authors) × 1.0x B-tier

α: calibrated so average coauthorship-adjusted count equals average raw count

Abstract

The standard one-sector real business cycle model is unable to generate expectations-driven fluctuations. The addition of countercyclical markups and modest investment adjustment costs offers an easy fix to this conundrum. The simulated model replicates the regular features of U.S. aggregate fluctuations. (Copyright: Elsevier)

Technical Details

RePEc Handle
repec:red:issued:11-302
Journal Field
Macro
Author Count
2
Added to Database
2026-01-28