Phillips Correlation and Price‐Change Distributions under Declining Trend Inflation
研究发现日本通缩时期微观价格变化分布变化和宏观菲利普斯相关性减弱，并用多部门一般均衡模型证明趋势通胀下降和服务消费占比上升可解释这两个现象。
Abstract The relationship between inflation dynamics and micro‐level pricing behavior is an underexplored research area. In this article, we first document that deflationary periods in Japan were associated with (i) variations in the distribution of price changes at the micro level, and (ii) a weakening in the Phillips correlation at the macro level. We construct a multisector general equilibrium model with sector‐specific menu costs, a feature that is supported by our estimation using sectoral data, and show that declining trend inflation and an increasing share of services in private consumption together can quantitatively explain the above two observations.