Aggregate Supply and Potential Output

Assaf Razin

No 142004, Working Papers from Hong Kong Institute for Monetary Research

Abstract: The New-Keynesian aggregate supply derives from micro-foundations an inflation-dynamics model very much like the tradition in the monetary literature. Inflation is primarily affected by: (i) Economic slack; (ii) Expectations; (iii) Supply shocks; and, (iv) Inflation persistence. This paper extends the New Keynesian aggregate supply relationship to include fluctuations in potential output as an additional determinant of the relationship. Implications for monetary rules and for the estimation of the Phillips curve are pointed out.

Keywords: New-Keynesian Phillips Curve; Potential Output; Taylor rules (search for similar items in EconPapers)
JEL-codes: E1 E12 E60 (search for similar items in EconPapers)
Pages: 13 pages
Date: 2004-07
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (6)

Downloads: (external link)
http://www.hkimr.org/uploads/publication/248/ub_full_0_2_88_wp200414_text.pdf (application/pdf)
Our link check indicates that this URL is bad, the error code is: 404 Not Found (http://www.hkimr.org/uploads/publication/248/ub_full_0_2_88_wp200414_text.pdf [301 Moved Permanently]--> http://www.aof.org.hk/research/HKIMR/uploads/publication/248/ub_full_0_2_88_wp200414_text.pdf [301 Moved Permanently]--> https://www.aof.org.hk/research/HKIMR/uploads/publication/248/ub_full_0_2_88_wp200414_text.pdf)

Related works:
Working Paper: Aggregate Supply and Potential Output (2004)
Working Paper: Aggregate Supply and Potential Output (2004)
Working Paper: Aggregate Supply and Potential Output (2004)
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:hkm:wpaper:142004

Access Statistics for this paper

More papers in Working Papers from Hong Kong Institute for Monetary Research Contact information at EDIRC.
Bibliographic data for series maintained by HKIMR (hkimr@hkma.gov.hk).