Output Gap as Indicator of Inflation - Case for Czech Economy

Inflation and Output in a Cash Constrained Economy

 We examine permanent effects of monetary expansion in an economy where access to credit for financing consumption and investment is limited and consumers and firms are cash-constrained. The main difference between our model with those of Cooley-Hanson (1989) and Walsh (2003) is that investment, in addition to consumption, is subject to a cash-constraint. In this respect, our model is...

Fighting inflation in a dollarized economy: The case of Vietnam

During its transition towards a market economy, Vietnam embarked upon a path of disinflation through dollarization. In this paper, we develop a model to shed light on the determinants of inflation under dollarization and estimate it for Vietnam in the 1990s using a two-step procedure. During this period, inflation was induced by exchange rate variations and by an excess of broad money. The pape...

Underground Economy And Tax Gap

Inflation, Inflation Uncertainty and Output in Tunisia

Reply : We think that the Tunisian case is also interesting for a broad audience. Tunisia has made important progress over the last decade toward establishing a sound bank intermediation, deepening its financial market, mobilizing domestic financing, and using indirect market-based monetary policy instruments. Monetary policy is useful to obtain a stable macroeconomic environment in favor of a ...

Inflation, output and uncertainty in the era of inflation targeting ¬タモ A multi-economy view on causal linkages

This study provides cross country robust evidence on interdependencies among inflation, output growth and respective uncertainties for the current era of low inflation policies. We attribute the extant empirical disagreement on these relations to the fact that long sampling periods and single economies are typically considered for analysis. In this study, VARX-MGARCH-M models are estimated for ...