The International Transmission of InflationInflation became the dominant economic, social, and political problem of the industrialized West during the 1970s. This book is about how the inflation came to pass and what can be done about it. Certain to provoke controversy, it is a major source of new empirical information and theoretical conclusions concerning the causes of international inflation. The authors construct a consistent data base of information for eight countries and design a theoretically sound model to test and evaluate competing hypotheses incorporating the most recent theoretical developments. Additional chapters address an impressive variety of issues that complement and corroborate the core of the study. They answer such questions as these: Can countries conduct an independent monetary policy under fixed exchange rates? How closely tied are product prices across countries? How are disturbances transmitted across countries? The International Transmission of Inflation is an important contribution to international monetary economics in furnishing an invaluable empirical foundation for future investigation and discussion. |
Contents
II The Mark III International Transmission Model | 83 |
III Capital Flows Sterilization Monetary Policy and Exchange Intervention | 289 |
IV International Price Movements | 419 |
V Conclusions | 491 |
Data Appendix | 525 |
Author Index | 719 |
| 722 | |
Other editions - View all
The International Transmission of Inflation Michael R. Darby,James R. Lothian,Arthur E. Gandolfi,Anna J. Schwartz No preview available - 1984 |
The International Transmission of Inflation Michael R. Darby,James R. Lothian No preview available - 1983 |
Common terms and phrases
4A log aggregate demand Annual Rates b₁ balance of payments balance-of-payments Canada Canadian Dollars capital flows central bank changes chapter currency current account Darby data were originally deflator deposits Description dollar Economic effect estimates exchange-rate exogenous expected exports floating foreign assets foreign exchange foreign exchange market France Germany gold growth rate high-powered money hypothesis imports increase inflation rate interest rate International Transmission Italy Japan lagged logarithmic long-run M₁ monetary approach monetary control monetary policy money demand money growth Money Stock money supply monthly Netherlands nominal money nonreserve countries official oil price originally in millions output p(log parity pegged exchange rates period price equation price level Product purchasing power parity quarterly rates Rates in Billions reaction function real income regressions relative price shocks short-run significant simulation Source speculative variables standard errors Statistics steady-state sterilization tion U.S. dollar United Kingdom