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We compute average markups as a measure of market power throughout time and study their interaction with fiscal policy and macroeconomic variables in a VAR framework. From impulse-response functions, the results, with annual data for a set of 14 OECD countries, show that the markup (i) depicts a...
Persistent link: https://www.econbiz.de/10013079040
We develop a model of gross capital flows and analyze their role in global financial stability. In our model, consistent with the data, when a country experiences asset fire sales, foreign investments exit (fickleness) while domestic investments abroad return home (retrenchment). When countries...
Persistent link: https://www.econbiz.de/10011573237
There are significant effects of changing demographics on economic indicators: growth in GDP especially, but also the current account balance and gross capital formation. The 15-24 age group appears to be one of the key age groups in these effects, with increases in that age group exerting...
Persistent link: https://www.econbiz.de/10003900319
This paper reviews the issues involved in moving towards greater exchange rate flexibility and capital account liberalization in China. A more flexible exchange rate regime would allow China to operate a more independent monetary policy, providing a useful buffer against domestic and external...
Persistent link: https://www.econbiz.de/10014065744
This article considers factors and conditions slowing growth of the Russian economy. Its recovery growth after the crisis of 2008—2009 is over. The limit of rapid growth through the export of raw materials has now been reached. Reducing flows of financial resources from the rest of the world...
Persistent link: https://www.econbiz.de/10011007795
Inflation, and its deleterious effects on economies, has for long been the worry of governments especially among … developing countries including Ghana. Several studies on the Ghanaian economy, have concluded that inflation in Ghana is purely a … monetary phenomenon though in reality, the causes of inflation are numerous and vary. The main objective of this paper was to …
Persistent link: https://www.econbiz.de/10013020996
-run sensitivity of output to inflation. …
Persistent link: https://www.econbiz.de/10005621206
How do changes in inflation and financial market development affect the size of the shadow economy? Previous studies … results suggest that, conditional on access to credit, a rise in inflation leads to a reduction in the size of the shadow …
Persistent link: https://www.econbiz.de/10014353678
toolkit of emerging markets, including debt restructurings and conversions, higher inflation, capital controls and other forms … economies, where debt restructuring or conversions, financial repression, and a tolerance for higher inflation, or a combination … current phase of the official policy approach is predicated on the assumption that debt sustainability can be achieved through …
Persistent link: https://www.econbiz.de/10011084399
This paper examines the fiscal and monetary policy options available to China as a sovereign currency-issuing nation operating in a dollar standard world. We first summarize a number of issues facing China, including the possibility of slower growth, global imbalances, and a number of domestic...
Persistent link: https://www.econbiz.de/10010513080