Some Evidence on the Adjustment of Producer Prices*

Cornille, David; Dossche, Maarten

doi:10.1111/j.1467-9442.2008.00548.x

Cited by 32 publications

(29 citation statements)

References 29 publications

Supporting

Mentioning

Contrasting

Order By: Relevance

“…However, this result is not based on qualitative survey data but on CPI quantitative data. Comparing our estimates the frequency of price changes in the manufacturing sector with those obtained in Cornille and Dossche (2008),our estimates are strongly correlated with the PPI estimates (correlation of 0.83). Still, we tend to find slightly larger frequencies of price changes in sectors with relatively sticky prices 4 .…”

Section: New Estimates Of the Frequency Of Price Changes In Belgiumsupporting

confidence: 62%

“…More precisely, we look at the relation between the frequency of price changes and some variables capturing the cost structure or the degree of both domestic and international competition of the different sectors. In so doing, we extend the analysis conducted in Cornille and Dossche (2008). Based on our estimates, we find that the cost structure is the major determinant of the sectoral frequencies of price changes.…”

Section: Introductionmentioning

confidence: 63%

“…This aggregate frequency of price changes lies between the CPI frequency of price changes of 17% computed in Aucremanne and Dhyne (2004) and the PPI frequency of price changes of 24% computed in Cornille and Dossche (2008). Considering very broad sectors of activity, we find a frequency of price changes of 24.4% (increases: 13.0 % / decreases: 11.4%) in the manufacturing sector, 20.3% (8.0% / 12.3%) in the building sector, 24.7% (11.8% / 12.8%) in the trade sector, 3.3% (2.9% / 0.4%) in hotels and restaurants and 8.8% (4.5% / 4.4%) in the service sector.…”

Section: New Estimates Of the Frequency Of Price Changes In Belgiummentioning

confidence: 99%

“…In order to increase the coverage of our analysis, we completed our estimates using existing empirical evidence available in Cornille and Dossche (2008) (hereafter, CD) or Aucremanne and Dhyne (2004) (hereafter, AD). Estimates of the frequency of price changes in the following sectors were taken out of these two articles : NACE 13 "Mining of metal ores" (CD), NACE 14 "Other mining and quarrying" (CD), NACE 16 "Manufacturing of tobacco products" (CD), NACE 23 "Manufactures of coke, refined petroleum products, nuclear fuel" (CD), NACE 40 "Electricity, gas, steam and hot water supply" (CD), NACE 41 "Collection, purification, distribution of water" (CD), NACE 55 "Hotels and Restaurants" (AD) and NACE 85 "Health care" (AD).…”

Section: The National Bank Of Belgium Business Surveymentioning

confidence: 99%

“…The purpose of this paper is therefore to present a new set of estimates of frequency of price changes for the Belgian economy at the NACE 2 digit level and to compare it with the existing evidence available for the Belgian economy (Aucremanne and Dhyne, 2004, Aucremanne and Druant, 2005, and Cornille and Dossche, 2008. Then, we use the information available in the 2000 Belgian Input -Output table to address the question of the determinants of the frequency of price changes.…”

Section: Introductionmentioning

confidence: 99%

See 4 more Smart Citations

A Global Assessment of the Degree of Price Stickiness - Results from the NBB Business Survey

Dhyne

2009

SSRN Journal

View full text Add to dashboard Cite

:In this paper, we estimate the degree of price stickiness in Belgium using the NBB Business survey. Based on our estimates, 19.2% of prices are changed each month. The manufacturing sector and the trade sectors are characterized by a frequency of price changes close to 24.5%. The construction sector is characterized by a frequency of price changes close to 20.5% and B2B service sectors are characterized by a frequency of price changes of almost 9%. Econometric analyses of the determinants of the sectoral frequency of price changes indicate, on the one hand, that cost structure is the main explanatory variable of the sectoral discrepancies. On the other hand, we find that domestic competition does not seem to explain an excess or shortage of price changes at the sectoral level. JEL CLASSIFICATION : D21, D40

show abstract

Section: New Estimates Of the Frequency Of Price Changes In Belgiumsupporting

confidence: 62%

Section: Introductionmentioning

confidence: 63%

Section: New Estimates Of the Frequency Of Price Changes In Belgiummentioning

confidence: 99%

Section: The National Bank Of Belgium Business Surveymentioning

confidence: 99%

Section: Introductionmentioning

confidence: 99%

See 3 more Smart Citations

A Global Assessment of the Degree of Price Stickiness - Results from the NBB Business Survey

Dhyne

2009

SSRN Journal

View full text Add to dashboard Cite

show abstract

Price‐setting behaviour in Spain: evidence from micro PPI data

2010

View full text Add to dashboard Cite

Standard-Nutzungsbedingungen:Die Dokumente auf EconStor dürfen zu eigenen wissenschaftlichen Zwecken und zum Privatgebrauch gespeichert und kopiert werden.Sie dürfen die Dokumente nicht für öffentliche oder kommerzielle Zwecke vervielfältigen, öffentlich ausstellen, öffentlich zugänglich machen, vertreiben oder anderweitig nutzen.Sofern die Verfasser die Dokumente unter Open-Content-Lizenzen (insbesondere CC-Lizenzen) zur Verfügung gestellt haben sollten, gelten abweichend von diesen Nutzungsbedingungen die in der dort genannten Lizenz gewährten Nutzungsrechte. Terms of use: Documents in EUROSYSTEM INFLATION PERSISTENCE NETWORKIn 2005 all ECB publications will feature a motif taken from the €50 banknote. WO R K I N G PA P E R S E R I E S N O. 5 2 2 / S E P T E M B E R 2 0 0 5 EUROSYSTEM INFLATION PERSISTENCE NETWORK The Eurosystem Inflation Persistence NetworkThis paper reflects research conducted within the Inflation Persistence Network (IPN), a team of Eurosystem economists undertaking joint research on inflation persistence in the euro area and in its member countries. The research of the IPN combines theoretical and empirical analyses using three data sources: individual consumer and producer prices; surveys on firms' price-setting practices; aggregated sectoral, national and area-wide price indices. Patterns, causes and policy implications of inflation persistence are addressed.Since June 2005 the IPN is chaired by Frank Smets; Stephen Cecchetti (Brandeis University), Jordi Galí (CREI, Universitat Pompeu Fabra) and Andrew Levin (Board of Governors of the Federal Reserve System) act as external consultants and Gonzalo Camba-Méndez as Secretary.The refereeing process is co-ordinated by a team composed of Günter Coenen (Chairman), Stephen Cecchetti, Silvia Fabiani, Jordi Galí, Andrew Levin, and Gonzalo Camba-Méndez. The paper is released in order to make the results of IPN research generally available, in preliminary form, to encourage comments and suggestions prior to final publication. The views expressed in the paper are the author's own and do not necessarily reflect those of the Eurosystem. © European Central C O N T E N T S Abstract 4Non-technical summary 5

show abstract

Branchenspezifische Unterschiede in der Abwärtsreallohnstarrheit: Arbeitskraftstruktur, Institutionen, Technologie und Wettbewerb

Caju

Fuss

Wintr

2012

J Labour Market Res

View full text Add to dashboard Cite

This paper examines whether differences in wage rigidity across sectors can be explained by differences in workforce composition, wage-bargaining institutions, technology and competition. We rely on a large administrative matched employer-employee dataset for Belgium over the period 1990-2002. Our results indicate that downward real wage rigidity is significantly higher for white-collar workers, lower for older workers and decreases with the level of earnings and bonuses. Beyond labour force composition effects, we find that wages are more rigid in sectors with predominant centralised wage-setting at the sector level as opposed to firm-level agreements. Also, more labourThe opinions expressed in this paper are solely our own and do not necessarily reflect the opinion of the National Bank of Belgium or the Central Bank of Luxembourg. We thank W. Dickens for providing us with the International Wage Flexibility Project (IWFP) estimation programmes. We also thank CIMIRe, the Datawarehouse Labour Market of the Belgian Social Security System and Statistics Belgium for giving us access to the individual datasets. We are grateful to M. Schweitzer, participants of the WDN meetings, CAED 2008 conference and AEA 2009 conference and our colleagues for fruitful discussions as well as anonymous referees for useful suggestions. The paper was prepared while Ladislav Wintr was working at the National Bank of Belgium.

show abstract

Some Evidence on the Adjustment of Producer Prices*

Cited by 32 publications

References 29 publications

A Global Assessment of the Degree of Price Stickiness - Results from the NBB Business Survey

A Global Assessment of the Degree of Price Stickiness - Results from the NBB Business Survey

Price‐setting behaviour in Spain: evidence from micro PPI data

Branchenspezifische Unterschiede in der Abwärtsreallohnstarrheit: Arbeitskraftstruktur, Institutionen, Technologie und Wettbewerb

Contact Info

Product

Resources

About