This paper examines the effects of monetary, fiscal, and exchange rate policy in a dual exchange rate regime that has arisen in response to exchange controls in the official market. A key feature distinguishing this arrangement from other dual exchange systems is the absence of an automatic...

A U.S. inflation-forecasting model recently developed by the Federal Reserve--the so-called P* relationship--is analyzed. An innovation in that model is the significance of M2 velocity in predicting changes in inflation. However, this paper's empirical analysis indicates that an inflation...

Harberger's analysis of the corporate income tax depends on his assumption that the corporate and noncorporate sectors produce different goods. This article modifies that assumption while arguing that the distinguishing feature of corporations lies in their ability to raise capital in a large...