The authors analyze macrodynamic adjustment during financial liberalization in Chile and New Zealand. During the adjustment to more open capital accounts in the late 1970s or mid-1980s, both countries...
The authors analyze the dynamic adjustment of the real exchange rate, the domestic interest rate, and foreign borrowing under conditions of perfect and imperfect capital mobility during financial liberalization...
External debt, inflation, and the public sector: toward fiscal policy for sustainable growth. Black market premia, exchange rate unification, and inflation in Sub-Saharan Africa. Indexation and inflationary...
Some governments facing high rates of inflation have adopted wage and exchange rate indexation in an attempt to offset the costs to workers and exporters. But indexation based on past values of inflation...
This article describes early models of indexing as well as more recent models that call for less indexing of wages to prices in order to improve price and output stability. Policymakers may face a tradeoff:...