Publikation: How does inflation affect different age groups?
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2025
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Deutsche Forschungsgemeinschaft (DFG): 509916045
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Open Access Hybrid
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Published
Erschienen in
Journal of Economic Dynamics and Control. Elsevier. 2025, 180, 105200. ISSN 0165-1889. eISSN 1879-1743. Verfügbar unter: doi: 10.1016/j.jedc.2025.105200
Zusammenfassung
We develop an overlapping-generations model with sticky wages and prices to study the socially optimal inflation rate in the long term. While sticky prices and firms’ productivity growth would yield a positive optimal inflation rate, we show that sticky wages, in combination with empirically plausible changes in productivity over workers’ lives, make moderate deflation optimal. We also study intergenerational conflicts and show that younger voters gain from lower inflation, whereas older voters prefer higher inflation.
Zusammenfassung in einer weiteren Sprache
Fachgebiet (DDC)
330 Wirtschaft
Schlagwörter
Trend inflation, Inflation target, Sticky wages, Sticky prices, Overlapping-generations models
Konferenz
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ISO 690
HAHN, Volker, Annika SCHÜRLE, 2025. How does inflation affect different age groups?. In: Journal of Economic Dynamics and Control. Elsevier. 2025, 180, 105200. ISSN 0165-1889. eISSN 1879-1743. Verfügbar unter: doi: 10.1016/j.jedc.2025.105200BibTex
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title={How does inflation affect different age groups?},
year={2025},
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volume={180},
issn={0165-1889},
journal={Journal of Economic Dynamics and Control},
author={Hahn, Volker and Schürle, Annika},
note={Article Number: 105200}
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