Open AccessThe price setting behavior in Colombia: evidence from PPI micro data
Author(s) -
Juan Manuel Julio-Román,
Héctor Manuel Zárate-Solano
Publication year - 2008
Publication title -
ensayos sobre política económica
Language(s) - English
Resource type - Reports
DOI - 10.32468/be.483
Subject(s) - real world evidence , medicine
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.
Accelerating Research
Robert Robinson Avenue,
Oxford Science Park, Oxford
OX4 4GP, United Kingdom
Address
John Eccles HouseRobert Robinson Avenue,
Oxford Science Park, Oxford
OX4 4GP, United Kingdom