Temporary Price Changes, Inflation Regimes, and the Propagation of Monetary Shocks
构建了一个包含大量临时价格变动的粘性价格模型，分析价格计划菜单成本如何影响总体价格水平灵活性，并用扫描数据和CPI数据验证模型对货币冲击传导的预测。
We present a sticky price model that features the coexistence of many price changes, most of which are temporary, with a modest flexibility of the aggregate price level. Stickiness is introduced in the form of a price plan, namely a set of two prices: either price can be charged at any moment but changing the plan entails a menu cost. We analytically solve for the optimal plan and for the aggregate output response to a monetary shock. We present evidence consistent with the model implications using scanner data, as well as Consumer Price Index data across a wide range of inflation rates.