The Price Setting Behavior in Colombia: Evidence from PPI Micro Data

Serie

• Borradores de economía

Resumen

• In this paper we explore the price setting behavior of Colombian producers and importers using a unique database containing the monthly price reports underlying the Colombian PPI from Jun-1999 to Oct-2006. We focus on five particular questions: 1. Are prices sticky or flexible? 2. Is a price increase more likely than a decrease? 3. Are price changes synchronized? 4. Is the pricing rule state or time dependent? 5. Are price changes sizable? Answers to these questions provide some of the micro fundamentals for the design of monetary policy in this country.

autores

• Julio, Juan Manuel
• Zárate-Solano, Héctor

fecha de publicación

• 2008-02

Área temática

• E31 - Nivel de precios; Inflación; Deflación
• E52 - Política monetaria
• E58 - Bancos centrales y sus políticas

Enfoque geográfico

• Colombia  Country
• South America  Continent

Líneas de investigación

• Nominal Price Rigidities
• Price Setting Behavior
• Producers Price Index

Identificador de objeto digital (DOI)

• https://doi.org/10.32468/be.483

Issue

• 483