Arbeitspapier
Is Lumpy Investment Really Irrelevant for the Business Cycle?
Smoothness in aggregate capital accumulation is a necessary condition for New-Keynesian (NK) models to imply a quantitatively relevant monetary transmission mechanism (see, e.g., Woodford 2005). Can that aggregate smoothness be entertained in the context of an NK model featuring lumpy plant-level investment? Our answer is yes. Imperfect competition in goods markets and/or sticky prices are identified as economic mechanisms which render lumpy investment relevant in general equilibrium.
- ISBN
-
82-7553-306-6
- Sprache
-
Englisch
- Erschienen in
-
Series: Working Paper ; No. 2005/6
- Klassifikation
-
Wirtschaft
Investment; Capital; Intangible Capital; Capacity
Price Level; Inflation; Deflation
Business Fluctuations; Cycles
- Thema
-
lumpy investment
sticky prices
- Ereignis
-
Geistige Schöpfung
- (wer)
-
Sveen, Tommy
Weinke, Lutz
- Ereignis
-
Veröffentlichung
- (wer)
-
Norges Bank
- (wo)
-
Oslo
- (wann)
-
2007
- Handle
- Letzte Aktualisierung
-
10.03.2025, 11:44 MEZ
Datenpartner
ZBW - Deutsche Zentralbibliothek für Wirtschaftswissenschaften - Leibniz-Informationszentrum Wirtschaft. Bei Fragen zum Objekt wenden Sie sich bitte an den Datenpartner.
Objekttyp
- Arbeitspapier
Beteiligte
- Sveen, Tommy
- Weinke, Lutz
- Norges Bank
Entstanden
- 2007