The Price Setting Behavior in Colombia: evidence from PPI micro data

Juan Julio and Hector Zarate-Solano

Revista ESPE - Ensayos Sobre Política Económica, 2008, vol. 26, issue 56, No 5287, 12-44

Abstract: In this paper we explore the price setting behaviorof Colombian producers and importers using a unique database containing the monthly price reportsunderlying the Colombian PPI from Jun-1999 to Oct-2006. We focus on five particular questions: 1. Are prices sticky or flexible? 2. Is a price increase more likely than a decrease? 3. Are price changes synchronized? 4. Is the pricing rule state or time dependent? 5. Are price changes sizable? Answers to these questions provide some of the micro fundamentalsfor the design of monetary policy in this country.

Keywords: Price Setting Behavior; Sticky Prices; PPI (search for similar items in EconPapers)
JEL-codes: E31 E52 E58 (search for similar items in EconPapers)
Date: 2008
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Citations: View citations in EconPapers (18)

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https://doi.org/10.32468/Espe.5601

Related works:
Journal Article: The Price Setting Behavior in Colombia: Evidence from PPI Micro Data (2008)
Working Paper: The Price Setting Behavior in Colombia: Evidence from PPI Micro Data (2008)
Working Paper: The Price Setting Behavior in Colombia:Evidence from PPI Micro Data (2008)
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Persistent link: https://EconPapers.repec.org/RePEc:col:000107:005287

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