Počet záznamů: 1  

Rationally inattentive seller: sales and discrete pricing

  1. 1. 0461428 - NHU-N 2017 RIV GB eng J - Článek v odborném periodiku
    Matějka, Filip
    Rationally inattentive seller: sales and discrete pricing.
    Review of Economic Studies. Roč. 83, č. 3 (2016), s. 1125-1155 ISSN 0034-6527
    Grant CEP: GA ČR(CZ) GPP402/11/P236
    Institucionální podpora: RVO:67985998
    Klíčová slova: rational inattention * nominal rigidity * sticky prices
    Kód oboru RIV: AH - Ekonomie
    Impakt faktor: 4.030, rok: 2016

    Prices tend to remain constant for a period of time and then jump. In the literature, this “rigidity” is usually interpreted to reflect a cost of adjusting prices. This article shows that price rigidity can alternatively reflect optimal price setting when there are no adjustment costs, namely, if the seller is rationally inattentive. The model generates non-trivial pricing patterns that are consistent with the data and that are hard to explain with the traditional adjustment-cost model. In particular, prices are adjusted frequently but move back and forth between a few given values, hazard functions are downward sloping, and responses to persistent shocks are sluggish. These results are obtained in a model that implements rational inattention without simplifying assumptions on the functional forms of the processed signals.
    Trvalý link: http://hdl.handle.net/11104/0261022