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Abstract

This work analyzes the implications of changing the parameters of Markups prices and wages, cost of welfare associated with a trend of inflation of 2 or 4 %. By using a New Keynesian model more comprehensive results show a relatively uniform low value of these parameters , gives costs well be quite modest. These costs are quite high conditionally the specific shock to investment compared to those generated by the shock neutral technology and the impact of monetary policy. Moreover, the costs of well be associated with an inflation trend starting from 2 to 4% , are much higher those associated with the trend of 0 to 2% .



Item Type: MPRA Paper -

Original Title: Markups, Trend positif d’inflation et Coûts en bien-être-

English Title: Markups, positive inflation trend and welfare costs-

Language: French-

Keywords: Markups, positive trend of inflation, welfare cost-

Subjects: E - Macroeconomics and Monetary Economics > E3 - Prices, Business Fluctuations, and Cycles > E31 - Price Level ; Inflation ; DeflationE - Macroeconomics and Monetary Economics > E3 - Prices, Business Fluctuations, and Cycles > E32 - Business Fluctuations ; Cycles-





Author: Wabenga Yango, James

Source: https://mpra.ub.uni-muenchen.de/71686/



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