This paper compares the Taylor type and the Calvo type staggering
schemes in terms of their implications on the behavior of aggregate price
and output following a monetary expansion. In the sticky nominal price case,
it is shown that Calvo type staggering implies positive autocorrelations (i.e.,
monotone dampening) in price and output, while Taylor type staggering
implies negative autocorrelations (i.e., oscillatory dampening). In the sticky
nominal wage case, however, it is found that both types of staggering
generate monotonically dampening responses of price and output. In other
words, the qualitative implications of wage stickiness are robust to the
choice of staggering schemes.