Inflation and the Foreign Exchange Market

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چکیده

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Inflation dynamics and the parallel market for foreign exchange

Pinto (1990) in World Bank Economic Review 3, 321-338, showed that unification of official and 'parallel ' market exchange rates may lead to an increase in steady-state inflation, because of the fiscal impact of real official exchange rate changes. This paper shows how this, and other comparative static and stability results in Pinto (1990), are reversed under the assumption that official excha...

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ژورنال

عنوان ژورنال: SSRN Electronic Journal

سال: 2016

ISSN: 1556-5068

DOI: 10.2139/ssrn.2779296