The article tried to explain how firms change prices by studying the frequency of a firm’s change in price and the theories used behind the stickiness of price. As Blinder puts it, the article presents how economic theories meet the real world. By looking at the table 10-2, there are 4 theories that are accepted by more than half of the firms. Also, more than half of the firms change prices twice or lesser. This might imply that in the real world, the main factors of stickiness are; coordination failure, lags on adjustment to price due to cost, delivery ...
Risk Biographies Samples For Students
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“If You Want to Know Why Firms Have Sticky Prices, Ask Them”: Reaction
