Search in the Product Market and the Real Business Cycle

Article, Research, Preprint English OPEN
Mathä, Thomas Y.; Pierrard, Olivier;
(2011)
  • Publisher: Elsevier
  • Related identifiers: doi: 10.1016/j.jedc.2011.03.001
  • Subject: E31 | Konsumentenverhalten | E10 | E32 | Frictions | Real-Business-Cycle-Theorie | Business cycle | E10,E31,E32,Business cycle,Frictions,Search,Product market,Price bargain | Product market | Preiswettbewerb | Search | [ QFIN ] Quantitative Finance [q-fin] | Business cycle, frictions, product market, price bargain | business cycle, frictions, price bargain, product market | Price bargain | Theorie
    • jel: jel:E10 | jel:E32 | jel:E31
      ddc: ddc:330

This paper develops a search-matching model, where producers provide effort to find customers (e.g. in form of advertising and marketing expenditures). Firms form long-term contractual relationships and bargain over prices. The price bargain results in mark up pricing a... View more
  • References (4)

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    Taylor, J., 1999. Staggered price and wage setting in macroeconomics. In: Taylor, J., Woodford, M. (Eds.), Handbook of Macroeconomics. Amsterdam: North-Holland.

    Yashiv, E., 2006. Evaluating the performance of the search and matching model. European Economic Review 50 (4), 909-936.

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