We show that in a broad class of menu cost models, the first-order dynamics of aggregate
inflation in response to arbitrary shocks to aggregate costs are nearly the same as in Calvo …

Canonical menu cost models, when parameterized to match the micro-price data, cannot
reproduce the extent to which the fraction of price changes increases with inflation. They …

We compare supermarket price setting in the US and the euro area and assess its impact on
food inflation. We introduce a novel scanner dataset of Germany, the Netherlands, France …

Abstract Using a New Zealand firm-level survey, I show that firms producing more goods
have both better information about inflation and more frequent but smaller price changes. To …

Price selection is a simple, model-free measure of selection in price setting. It exploits
comovement between inflation and the level from which adjusting prices departed. Prices …

This paper studies price adjustment in a novel monthly dataset of individual product prices of
multiproduct firms, merged with firm-level balance sheets and cost data. According to the …

In a broad class of sticky-price models, the non-neutrality of nominal shocks is captured by a
simple sufficient statistic: the ratio of the kurtosis of the price change distribution over the …

E-commerce has become more prevalent throughout Europe in the last decade. The
coronavirus (COVID-19) pandemic accelerated this trend, particularly in the retail sector …

The flexibility of the aggregate price level affects the ability of monetary policy to stabilize
business cycles. Monetary policy can be ineffective even if only few prices adjust, as long as …

We study a unique dataset with comprehensive coverage of daily prices in large multi-
product retailers in Israel. Retail stores synchronise price changes around occasional …