The Cost of Nominal Rigidity in NNS Models
构建包含卡尔沃工资和价格设定、资本形成及政府支出与货币政策规则的模型，估计名义刚性造成的福利损失高达每期消费的3%，并指出存在能几乎消除该损失的利率规则，表明需求管理政策仍有改进空间。
We present a model with Calvo wage and price setting, capital formation, and estimated rules for government spending and monetary policy. Our model captures many aspects of U.S. data, including the volatility that has been observed in various efficiency gaps. We estimate the cost of nominal rigidity—welfare under flexible wages and prices minus welfare with nominal rigidities—to be as much as 3% of consumption each period. Since there are interest rate rules that virtually eliminate this cost, our model suggests that—contrary to Lucas's (2003) assertion—there is considerable room for improvement in demand management policy.