Wages, Relative Prices and the Choice between Fixed and Flexible Exchange Rates
نویسندگان
چکیده
منابع مشابه
Wages, Flexible Exchange Rates, and Macroeconomic Policy*
In an open economy with a floaLing exchange rate, the efficacy of fiscal and monetary policy depends fundamentally on the wage-setting pnxiess. In the canonical models of Mundell and Fleming, monetary expansion raises output via an exchange rate depreciation, while fiscal expansion has no output effect. These results hold only when real wages can be altered by exchange rate movements; if the re...
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The main purpose of present study is to analyze the relationship between stock and exchange markets in two Asian countries, Iran and South Korea. A monthly time series of stock price and exchange rate are used over the period 2002: 05 - 2012: 03. The data is collected from the Central Bank of each country and WDI. The calculated stock return and real exchange rate change are used in analysis....
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This paper uncovers a striking empirical regularity: the consumer price of a good relative to a different good within a country tends to be much less variable than the price of that good relative to a similar good in another country. This fact seems to hold for all goods except very simple, homogeneous products. Models of real exchange rates are likely to have predictions regarding this relatio...
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One of the global economic crisis is the price fluctuations of oil.Crude oil prices and exchange rates are two important factors in the oil-importing countries. This study examines the impact of real oil prices and exchange rates on the price of petroleum products in oil-importing countries1 using the data panel method, based on annual data provided by the World Bank site over the period 2000-2...
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We survey the recent empirical and theoretical developments in the literature on the relation between prices and exchange rates. After updating some of the major findings in the empirical literature we present a simple framework to interpret this evidence. We review theoretical models that generate insensitivity of prices to exchange rate changes through variable markups, both under flexible pr...
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ژورنال
عنوان ژورنال: The Canadian Journal of Economics
سال: 1982
ISSN: 0008-4085
DOI: 10.2307/134672