The cyclical behaviour of prices in the U.K. is investigated using a sample of annual observations covering the period 1886-1993. A structural time series model relating consumer prices to output is estimated over four sub-periods. The results indicate that prices were procyclical in the...

This paper examines the relationship amongst unemployment and interest rates, taxes on household expenditures and exchange rates for Brazil and Mexico. The theoretical framework is based on concepts or corporate finance and firm's profit-maximizing choice. The empirical analysis is derived from...