Policy Paradoxes in the New-Keynesian Model

B-Tier
Journal: Review of Economic Dynamics
Year: 2016
Volume: 21
Pages: 1-15

Score contribution per author:

2.011 = (α=2.01 / 1 authors) × 1.0x B-tier

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

Abstract

The common sticky-prices New-Keynesian model behaves differently in a zero-lower bound environment. Fiscal and forward guidance multipliers can be very large. Positive supply shocks, such as an increase in productivity, will lower production, and increased price flexibility can exacerbate such a decline in output (as well as amplifying the effects of other shocks). These results are fragile and disappear

Technical Details

RePEc Handle
repec:red:issued:14-286
Journal Field
Macro
Author Count
1
Added to Database
2026-01-25