Asymmetry In Economic Fluctuations In The Us Economy: The Pre-War And The 1946–1991 Periods Compared

Abstract

The focus of this investigation is one the asymmetric effects of monetary growth Shocks in the pre-and periods of United States history. The downward Rigidity of nominal wages in the post -war period appears to be an important factor in Differentiating the slope of the aggregate supply curve over time. Accordingly, the Response of real output and price to expansionary monetary growth shocks is similar in The pre-and post-war periods. In contrast, the aggregate supply curve is flatter in the Face of negative monetary growth shocks in the post-war period, exacerbating output Contraction and moderating price deflaction. The apparent change in the asymmetric Effects of m onetary growth shocks deflation. The apparent change in the asymmetric States over time. [E30,E33,E34,E35]

^*The author thanks an anonymous referee and the Editor, Young Kim, for helpful comments on an earlier draft of this paper.

^*The author thanks an anonymous referee and the Editor, Young Kim, for helpful comments on an earlier draft of this paper.

Notes

^*The author thanks an anonymous referee and the Editor, Young Kim, for helpful comments on an earlier draft of this paper.