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Showing 1 results for Price Rigidity

Shole Bagheri Pormehr, Teymour Mohamadi,
Volume 6, Issue 22 (12-2015)
Abstract

 

Structural parameters are necessary and important in some economic studies, especially in general equilibrium models. One of these structural parameters is degree of price rigidity. In this article we try estimate degree of price rigidity in Iran economy in a General Equilibrium Dynamic Stochastic Model with Bayesian method. Our result with using seasonal data of real consumption, GDP, inflation and taxes for 1377-1387 reach us to number 46 percent for price rigidity which show 46 percent of Iran's firms could not optimize their price in each period.

  



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