Comportamento dos consumidores em economias inflacionárias e seu efeito sobre os preços

Abstract

We examine the functioning of a market with heterogeneity of consumers and sellers under inflation. For low levels of inflation, a pooling equilibrium, exists with all firms selling to all types of consumers. However, above a certain level of inflation this type of equilibrium is disrupted_ A degree of separation begins, with a proportion of firms choosing to set higher prices at the expense of not selling to all consumers. We show that a rise in the inflation rate will lead to higher average real price in the market together with a reduction on firms' profit.