The Optimality of a Control Band Policy
Author
Abstract
Suggested Citation
DOI: 10.1016/j.red.2005.05.001
Download full text from publisher
As the access to this document is restricted, you may want to search for a different version of it.
References listed on IDEAS
- Levy, Daniel & Bergen, Mark & Dutta, Shantanu & Venable, Robert, 1997.
"The Magnitude of Menu Costs: Direct Evidence from Large U.S. Supermarket Chains,"
EconStor Open Access Articles and Book Chapters, ZBW - Leibniz Information Centre for Economics, vol. 112(3), pages 791-824.
- Daniel Levy & Mark Bergen & Shantanu Dutta & Robert Venable, 1997. "The Magnitude of Menu Costs: Direct Evidence from Large U. S. Supermarket Chains," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 112(3), pages 791-824.
- Daniel Levy & Mark Bergen & Shantanu Dutta & Robert Venable, 1997. "The Magnitude of Menu Costs: Direct Evidence from Large U. S. Supermarket Chains," Post-Print hal-02382825, HAL.
- Daniel Levy & Mark Bergen & Shantanu Dutta & Robert Venable, 2005. "The Magnitude of Menu Costs: Direct Evidence from Large U.S. Supermarket Chains," Macroeconomics 0505012, University Library of Munich, Germany.
- Avinash K. Dixit & Robert S. Pindyck, 1994. "Investment under Uncertainty," Economics Books, Princeton University Press, edition 1, number 5474.
- Abel, Andrew B & Eberly, Janice C, 1994.
"A Unified Model of Investment under Uncertainty,"
American Economic Review, American Economic Association, vol. 84(5), pages 1369-1384, December.
- Andrew B. Abel & Janice C. Eberly, "undated". "A Unified Model of Investment Under Uncertainty," Rodney L. White Center for Financial Research Working Papers 14-93, Wharton School Rodney L. White Center for Financial Research.
- Andrew B. Abel & Janice C. Eberly, 1993. "A Unified Model of Investment Under Uncertainty," NBER Working Papers 4296, National Bureau of Economic Research, Inc.
- Giuseppe Bertola & Ricardo J. Caballero, 1990. "Kinked Adjustment Costs and Aggregate Dynamics," NBER Chapters, in: NBER Macroeconomics Annual 1990, Volume 5, pages 237-296, National Bureau of Economic Research, Inc.
- Andrew Caplin & John Leahy, 1991. "State-Dependent Pricing and the Dynamics of Money and Output," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 106(3), pages 683-708.
- Blinder, Alan S, 1991.
"Why Are Prices Sticky? Preliminary Results from an Interview Study,"
American Economic Review, American Economic Association, vol. 81(2), pages 89-96, May.
- Alan S. Blinder, 1991. "Why are Prices Sticky? Preliminary Results from an Interview Study," NBER Working Papers 3646, National Bureau of Economic Research, Inc.
- Danziger, Leif, 1983. "Price Adjustments with Stochastic Inflation," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 24(3), pages 699-707, October.
- J. Michael Harrison & Thomas M. Sellke & Allison J. Taylor, 1983. "Impulse Control of Brownian Motion," Mathematics of Operations Research, INFORMS, vol. 8(3), pages 454-466, August.
- Avner Bar-Ilan & Agnès Sulem, 1995. "Explicit Solution of Inventory Problems with Delivery Lags," Mathematics of Operations Research, INFORMS, vol. 20(3), pages 709-720, August.
- Eytan Sheshinski & Yoram Weiss, 1977. "Inflation and Costs of Price Adjustment," The Review of Economic Studies, Review of Economic Studies Ltd, vol. 44(2), pages 287-303.
- Bar-Ilan, A. & Sulem, A., 1991. "Explicit Solution in Inventory Problems with Delivery Lags," Papers 5-91, Tel Aviv - the Sackler Institute of Economic Studies.
- Eytan Sheshinski & Yoram Weiss, 1983. "Optimum Pricing Policy under Stochastic Inflation," The Review of Economic Studies, Review of Economic Studies Ltd, vol. 50(3), pages 513-529.
- Dixit, Avinash, 1991. "A simplified treatment of the theory of optimal regulation of Brownian motion," Journal of Economic Dynamics and Control, Elsevier, vol. 15(4), pages 657-673, October.
- Dumas, Bernard, 1991.
"Super contact and related optimality conditions,"
Journal of Economic Dynamics and Control, Elsevier, vol. 15(4), pages 675-685, October.
- Bernard Dumas, 1988. "Super-contact and Related Optimality Condition," Working Papers hal-00612643, HAL.
- George M. Constantinides & Scott F. Richard, 1978. "Existence of Optimal Simple Policies for Discounted-Cost Inventory and Cash Management in Continuous Time," Operations Research, INFORMS, vol. 26(4), pages 620-636, August.
Citations
Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
Cited by:
- Yiannis Kamarianakis & Anastasios Xepapadeas, 2006. "Controlling the risky fraction process with an ergodic criterion," Working Papers 0710, University of Crete, Department of Economics.
- Yiannis Kamarianakis & Anastasios Xepapadeas, 2006. "Stochastic impulse control with discounted and ergodic optimization criteria: A comparative study for the control of risky holdings," Working Papers 0709, University of Crete, Department of Economics.
Most related items
These are the items that most often cite the same works as this one and are cited by the same works as this one.- Erwan Gautier, 2009.
"Les ajustements microéconomiques des prix : une synthèse des modèles théoriques et résultats empiriques,"
Revue d'économie politique, Dalloz, vol. 119(3), pages 323-372.
- Gautier, E., 2008. "Les ajustements micro conomiques des prix : une synth se des mod les th oriques et r sultats empiriques," Working papers 211, Banque de France.
- Bonomo, Marco, 2000.
"Are One-Sided S,s Rules Useful Proxies For Optimal Pricing Rules?,"
Brazilian Review of Econometrics, Sociedade Brasileira de Econometria - SBE, vol. 20(1), May.
- Bonomo, Marco Antônio Cesar, 2000. "Are one-sided S,s rules useful proxies for optimal pricing rules?," FGV EPGE Economics Working Papers (Ensaios Economicos da EPGE) 369, EPGE Brazilian School of Economics and Finance - FGV EPGE (Brazil).
- Emmanuel Dhyne & Jerzy Konieczny & Fabio Rumler & Patrick Sevestre, 2009. "Price rigidity in the euro area - An assessment," European Economy - Economic Papers 2008 - 2015 380, Directorate General Economic and Financial Affairs (DG ECFIN), European Commission.
- Levy, Daniel & Müller, Georg & Chen, Haipeng (Allan) & Bergen, Mark & Dutta, Shantanu, 2010.
"Holiday Price Rigidity and Cost of Price Adjustment,"
EconStor Open Access Articles and Book Chapters, ZBW - Leibniz Information Centre for Economics, vol. 77(305), pages 172-198.
- Daniel Levy & Haipeng (Allan) Chen & Georg Müller & Shantanu Dutta & Mark Bergen, 2010. "Holiday Price Rigidity and Cost of Price Adjustment," Economica, London School of Economics and Political Science, vol. 77(305), pages 172-198, January.
- Daniel Levy & Georg Müller & Shantanu Dutta & Mark Bergen, 2002. "Holiday Price Rigidity and Cost of Price Adjustment," Working Papers 2002-03, Bar-Ilan University, Department of Economics.
- Daniel Levy & Georg Müller & Haipeng Allan Chen & Mark Bergen & Shantanu Dutta, 2010. "Holiday Price Rigidity and Cost of Price Adjustment," Post-Print hal-02387730, HAL.
- Daniel Levy & Georg Müller & Haipeng (Allan) Chen & Mark Bergen & Shantanu Dutta, 2009. "Holiday Price Rigidity and Cost of Price Adjustment," Working Papers 2009-03, Bar-Ilan University, Department of Economics.
- Levy, Daniel & Müller, Georg & Chen, Haipeng (Allan) & Bergen, Mark & Dutta, Shantanu, 2008. "Holiday Price Rigidity and Cost of Price Adjustment," MPRA Paper 13095, University Library of Munich, Germany.
- Daniel Levy & Georg Muller & Shantanu Dutta & Mark Bergen, 2004. "Holiday Price Rigidity and Cost of Price Adjustment," Macroeconomics 0402019, University Library of Munich, Germany, revised 10 Jun 2005.
- Alexander L. Wolman, 2007.
"The frequency and costs of individual price adjustment,"
Managerial and Decision Economics, John Wiley & Sons, Ltd., vol. 28(6), pages 531-552.
- Alexander L. Wolman, 2000. "The frequency and costs of individual price adjustments," Economic Quarterly, Federal Reserve Bank of Richmond, issue Fall, pages 1-22.
- Hansen, Per Svejstrup, 1996. "Permanent effects of monetary policy in a dynamic menu cost model," Economics Letters, Elsevier, vol. 52(1), pages 61-66, July.
- Wilko Letterie & Øivind Anti Nilsen, 2016.
"Price Changes - Stickiness and Internal Coordination in Multiproduct Firms,"
CESifo Working Paper Series
5701, CESifo.
- Letterie, Wilko & Nilsen, Øivind A., 2016. "Price Changes - Stickiness and Internal Coordination in Multiproduct Firms," Discussion Paper Series in Economics 21/2016, Norwegian School of Economics, Department of Economics.
- Bar-Ilan, Avner & Sulem, Agnes & Zanello, Alessandro, 2002. "Time-to-build and capacity choice," Journal of Economic Dynamics and Control, Elsevier, vol. 26(1), pages 69-98, January.
- Dutta, Shantanu, et al, 1999.
"Menu Costs, Posted Prices, and Multiproduct Retailers,"
Journal of Money, Credit and Banking, Blackwell Publishing, vol. 31(4), pages 683-703, November.
- Dutta, Shantanu & Bergen, Mark & Levy, Daniel & Venable, Robert, 1999. "Menu Costs, Posted Prices, and Multiproduct Retailers," EconStor Open Access Articles and Book Chapters, ZBW - Leibniz Information Centre for Economics, vol. 31(4), pages 683-703.
- Shantanu Dutta & Mark Bergen & Daniel Levy & Robert Venable, 1999. "Menu Costs, Posted Prices, and Multiproduct Retailers," Post-Print hal-02385591, HAL.
- Shantanu Dutta & Mark Bergen & Daniel Levy & Robert Venable, 2005. "Menu Costs, Posted Prices, and Multiproduct Retailers," Macroeconomics 0505007, University Library of Munich, Germany.
- Le, Duc Thuc & Jones, John Bailey, 2005.
"Optimal investment with lumpy costs,"
Journal of Economic Dynamics and Control, Elsevier, vol. 29(7), pages 1211-1236, July.
- John Bailey Jones & Duc T. Le, 2002. "Optimal Investment with Lumpy Costs," Discussion Papers 02-02, University at Albany, SUNY, Department of Economics.
- Leif Danziger, 1999.
"A Dynamic Economy with Costly Price Adjustments,"
American Economic Review, American Economic Association, vol. 89(4), pages 878-901, September.
- Leif Danziger, 1998. "A Dynamic Economy with Costly Price Adjustment," Cahiers de recherche CREFE / CREFE Working Papers 83, CREFE, Université du Québec à Montréal.
- Jaime Casassus & Pierre Collin-Dufresne & Bryan R. Routledge, 2005. "Equilibrium Commodity Prices with Irreversible Investment and Non-Linear Technology," NBER Working Papers 11864, National Bureau of Economic Research, Inc.
- Carlos Borondo, 1994. "La rigidez nominal de los precios de la Nueva Economía Keynesiana: una panorámica," Investigaciones Economicas, Fundación SEPI, vol. 18(2), pages 245-288, May.
- Christian R. Ahlin, 2001. "Optimal Pricing Under Stochastic Inflation: State:Dependent (s,S) Policies," Vanderbilt University Department of Economics Working Papers 0127, Vanderbilt University Department of Economics.
- Kevin X. D. Huang & Jonathan L. Willis, 2018.
"Sectoral Interactions and Monetary Policy under Costly Price Adjustments,"
Annals of Economics and Finance, Society for AEF, vol. 19(2), pages 337-374, November.
- Kevin X.D. Huang & Jonathan Willis, 2012. "Sectoral Interactions and Monetary Policy Under Costly Price Adjustments," 2012 Meeting Papers 883, Society for Economic Dynamics.
- Claus Thustrup Kreiner, 2002. "Do the New Keynesian Microfoundations Rationalise Stabilisation Policy?," Economic Journal, Royal Economic Society, vol. 112(479), pages 384-401, April.
- Attila Rátfai, 2007. "The frequency and size of price adjustment: microeconomic evidence," Managerial and Decision Economics, John Wiley & Sons, Ltd., vol. 28(7), pages 751-762.
- repec:awi:wpaper:0477 is not listed on IDEAS
- House, Christopher L., 2014. "Fixed costs and long-lived investments," Journal of Monetary Economics, Elsevier, vol. 68(C), pages 86-100.
- Andrew W. Lo & Harry Mamaysky & Jiang Wang, 2004.
"Asset Prices and Trading Volume under Fixed Transactions Costs,"
Journal of Political Economy, University of Chicago Press, vol. 112(5), pages 1054-1090, October.
- Andrew Lo & Harry Mamaysky & Jiang Wang, 2001. "Asset Prices and Trading Volume Under Fixed Transactions Costs," Yale School of Management Working Papers ysm188, Yale School of Management, revised 01 Sep 2009.
- Andrew Lo & Harry Mamaysky & Jiang Wang, 2001. "Asset Prices and Trading Volume Under Fixed Transactions Costs," Yale School of Management Working Papers ysm188, Yale School of Management, revised 01 Sep 2009.
- Andrew W. Lo & Harry Mamaysky & Jiang Wang, 2001. "Asset Prices and Trading Volume Under Fixed Transactions Costs," NBER Working Papers 8311, National Bureau of Economic Research, Inc.
- Virgiliu Midrigan, 2011.
"Menu Costs, Multiproduct Firms, and Aggregate Fluctuations,"
Econometrica, Econometric Society, vol. 79(4), pages 1139-1180, July.
- Virgiliu Midrigan, 2005. "Menu Costs, Multi-Product Firms and Aggregate Fluctuations," Macroeconomics 0511004, University Library of Munich, Germany.
- Midrigan, Virgiliu, 2006. "Menu costs, multi-product firms, and aggregate fluctuations," CFS Working Paper Series 2007/13, Center for Financial Studies (CFS).
More about this item
Keywords
stochastic control; menu cost;JEL classification:
- E31 - Macroeconomics and Monetary Economics - - Prices, Business Fluctuations, and Cycles - - - Price Level; Inflation; Deflation
- C61 - Mathematical and Quantitative Methods - - Mathematical Methods; Programming Models; Mathematical and Simulation Modeling - - - Optimization Techniques; Programming Models; Dynamic Analysis
Statistics
Access and download statisticsCorrections
All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:red:issued:v:8:y:2005:i:4:p:877-901. See general information about how to correct material in RePEc.
If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.
If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .
If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Christian Zimmermann (email available below). General contact details of provider: https://edirc.repec.org/data/sedddea.html .
Please note that corrections may take a couple of weeks to filter through the various RePEc services.