PRICE AND QUANTITY RESPONSES TO COST AND DEMAND SHOCKS
研究价格刚性下，成本与需求冲击如何导致数量比价格波动更大，发现需求冲击对价格影响微弱但对数量影响显著且短暂。
ABSTRACT When prices are inflexible, real variables like production and inventories must bear the brunt of responding to cost and demand shocks. In these circumstances, one expects to observe rather more variation in quantities than in prices, and that is, in fact, what we observe in the data. To explain this observation, one must explain why prices are inflexible. Our goal in this paper is to ascertain whether it is selectivity in response to demand shocks or just a more extensive smoothing of prices than quantities which accounts for the relatively higher variation in quantities which we observe. We conclude that selectivity in response is clearly evident in the data: demand shocks have only very weak effects on prices, but they have substantial (if rather transitory) effects on quantities.