Macroeconomic Insights from aGGRegating evidence on micrO PRICE Setting

The increasing availability of comprehensive micro data sets, conceptional progress in dealing with idiosyncratic heterogeneity and considerably improved computational facilities have boosted an area in economic research that employs granular data to improve macroeconomic modelling and draw macroeconomic implications. Employing novel and very comprehensive (“big data”) sets of micro prices (at the retail product level) the research network MIGGROPRICES aims at contributing to this literature by providing new insights into the nature of price setting. Moreover, research conducted in the context of MIGGROPRICES addresses questions related to (inter-)national goods market integration, the pass-through of costs to prices and issues of competitiveness.