Regional Asymmetries in the Impact of Monetary Policy Shocks on Prices: Evidence from US Cities
AbstractDeviations from the Law of One Price across US cities are smaller than corresponding international deviations, but nevertheless substantial. We find that a proportion of these deviations can be explained by asymmetric responses to federal monetary policy shocks, and that a large part of the asymmetry can be explained by city-specific economic characteristics.
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Bibliographic InfoPaper provided by University of Otago, Department of Economics in its series Working Papers with number 0702.
Length: 22 pages
Date of creation: Feb 2007
Date of revision: Feb 2007
Law of One Price; monetary policy shocks;
Other versions of this item:
- David Fielding & Kalvinder Shields, 2011. "Regional Asymmetries in the Impact of Monetary Policy Shocks on Prices: Evidence from US Cities," Oxford Bulletin of Economics and Statistics, Department of Economics, University of Oxford, vol. 73(1), pages 79-103, 02.
- E31 - Macroeconomics and Monetary Economics - - Prices, Business Fluctuations, and Cycles - - - Price Level; Inflation; Deflation
- E52 - Macroeconomics and Monetary Economics - - Monetary Policy, Central Banking, and the Supply of Money and Credit - - - Monetary Policy
- R19 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Other
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