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inflation, particularly in the 1970s, and the choice of an exchange rate regime consistent with domestic monetary and fiscal … reminiscent of the global inflation generated by the weak dollar in the 1970s. -- Inflation ; Exchange Rates ; Macro Policies …
Persistent link: https://www.econbiz.de/10003818402
excess liquidity reminiscent of the global inflation generated by the weak dollar in the 1970s …
Persistent link: https://www.econbiz.de/10013316479
In this paper, we analyze the presence of time variation in the pass-through from the nominal effective exchange rate to import prices for 24 advanced economies over the period 1995-2015. In line with earlier studies in the literature, we find substantial heterogeneity in the level of exchange...
Persistent link: https://www.econbiz.de/10011747729
This paper reviews the post-Keynesian theory of inflation against the background of the simultaneous rise in inflation …-are discussed. The paper applies the latter to elucidate recent inflation trends propelled by increasing imported energy prices and … then rising mark-ups. The effects of inflation-targeting central bank interest policies versus a post-Keynesian alternative …
Persistent link: https://www.econbiz.de/10014437285
Global current account imbalances were a major subject of concern in the years before the recent financial crisis. It is shown that the expected (negative) equilibrium relationship between net foreign assets and the trade balance that had held in the previous twenty years appeared to break down...
Persistent link: https://www.econbiz.de/10010382090
Theory suggests a significant positive relationship in long-run equilibrium between net foreign assets (NFA) as a proportion of GDP and real exchange rates. Empirical tests have ignored two issues: the large variation in cross-country trade/GDP ratios, which is likely to induce substantial...
Persistent link: https://www.econbiz.de/10009792044
Many currencies, especially those of countries with negative net foreign assets, tend to depreciate during times of financial turbulence. Using a panel of 26 currencies over the period 1/1997 - 6/2016, I show that the composition of net foreign assets matter for the exchange rate sensitivity to...
Persistent link: https://www.econbiz.de/10011926196
inflation rate, both on the global and the individual-country level. -- international reserves ; inflation ; panel data analysis …
Persistent link: https://www.econbiz.de/10009660974
of Inflation Targeting. We start applying methodologies developed by Calvo and Reinhart (2002) and Ball and Reyes (2004 …, 2008) to check the probabilities of changes in exchange rate and monetary policy instruments before and after inflation … exchange rate shocks before and after inflation targeting regime. VAR model helps to understand the impacts of switch in …
Persistent link: https://www.econbiz.de/10010509199
This paper develops a model of inflation in an open economy. The model permits analysis of the susceptibility of open … paper arrives at a “structuralist inflation targeting agenda”. Based on a proper conception of inflation dynamics, this … involves “getting inflation targeting right” rather than either accepting mainstream inflation targeting prescriptions or …
Persistent link: https://www.econbiz.de/10012954770