EconPapers    
Economics at your fingertips  
 

Estimates of the Open Economy New Keynesian Phillips Curve for Euro Area Countries

Fabio Rumler ()

Working Papers from Oesterreichische Nationalbank (Austrian Central Bank)

Abstract: This paper extends the existing literature on the open economy New Keynesian Phillips Curve by incorporating three different factors of production, domestic labor and imported as well as domestically produced intermediate goods, into a general model which nests existing closed economy and open economy models as special cases. The model is then estimated for 9 euro area countries and the euro area aggregate. We find that structural price rigidity is systematically lower in the open economy specification of the model than in the closed economy specification indicating that when firms face more variable input costs they tend to adjust their prices more frequently. However, when the model is estimated in its general specification including also domestic intermediate inputs, price rigidity increases again compared to the open economy specification without domestic intermediate inputs.

Keywords: New Keynesian Phillips Curve; Open Economy; GMM (search for similar items in EconPapers)
JEL-codes: C22 E12 E31 (search for similar items in EconPapers)
Pages: 47
Date: 2005-08-08
New Economics Papers: this item is included in nep-eec and nep-mac
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (22) Track citations by RSS feed

Downloads: (external link)
https://www.oenb.at/dam/jcr:351b7ad6-4c1b-4e99-b22 ... p102_tcm16-30802.pdf (application/pdf)
Our link check indicates that this URL is bad, the error code is: 403 Forbidden (https://www.oenb.at/dam/jcr:351b7ad6-4c1b-4e99-b225-ee6afbe87fce/wp102_tcm16-30802.pdf [303 See Other]--> https://www.oenb.at/error_path/403.html?al_req_id=YyroxSRTYfKRo2IH0j1rigAAACM)

Related works:
Journal Article: Estimates of the Open Economy New Keynesian Phillips Curve for Euro Area Countries (2007) Downloads
Working Paper: Estimates of the open economy New Keynesian Phillips curve for euro area countries (2005) Downloads
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:onb:oenbwp:102

Ordering information: This working paper can be ordered from
Oesterreichische Nationalbank, Economic Studies Division, POB 61, A-1011 Vienna, Austria

The price is Free subject to availability.

Access Statistics for this paper

More papers in Working Papers from Oesterreichische Nationalbank (Austrian Central Bank) P.O. Box 61, A-1011 Vienna, Austria. Contact information at EDIRC.
Bibliographic data for series maintained by Markus Knell ().

 
Page updated 2022-09-22
Handle: RePEc:onb:oenbwp:102