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and inflation risk. Both sources of uncertainty make it difficult to stabilize consumption over time. However, investors …
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This note examines the behavior of a competitive firm that faces joint price and inflation risk. Given that the price … risk is negatively correlated with the inflation risk in the sense of expectation dependence, the firm optimally opts for … inflation risk, it is not the case when the inflation risk prevails. In contrast to the conventional wisdom, forward hedging …
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We study the economic relationship between globalization and inequality within a country. In a partial equilibrium it is shown even when the local government exclusively maximizes the welfare of the marginalized (unemployed) people, relative consumption inequality between employed and the...
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and inflation risk. Both sources of uncertainty make it difficult to stabilize consumption over time. However, investors …
Persistent link: https://www.econbiz.de/10013016077