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Retail prices during a change in monetary regimes: evidence from Sears, Roebuck catalogs, 1938-1951

  • Andrew T. Young

    (University of Mississippi, MS, USA)

  • Alexander K. Blue

    (Emory University, GA, USA)

We present microeconomic evidence on US pricing dynamics pre and post-establishment of the Bretton Woods (BW) monetary regime. We track prices of 49 goods (1172 observations) in 1938-1951 Sears, Roebuck catalogs. The average length between (nominal) price changes was over 2 years. The average was higher (2.05 years) in the pre-BW period than in the later (2.01 years). We find that prices of brand name goods were relatively rigid; three never changed price. Price changes were larger during the 1945-1951 period than pre-BW by between 0.60 and 1.83%. Price changes displayed a higher correlation with inflation pre-BW. Copyright © 2007 John Wiley & Sons, Ltd.

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File URL: http://hdl.handle.net/10.1002/mde.1378
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Article provided by John Wiley & Sons, Ltd. in its journal Managerial and Decision Economics.

Volume (Year): 28 (2007)
Issue (Month): 7 ()
Pages: 763-775

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Handle: RePEc:wly:mgtdec:v:28:y:2007:i:7:p:763-775
Contact details of provider: Web page: http://www3.interscience.wiley.com/cgi-bin/jhome/7976

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