Stopping High Inflation
Author | : Carlos Végh |
Publisher | : |
Total Pages | : 72 |
Release | : 2006 |
ISBN-10 | : OCLC:1291211064 |
ISBN-13 | : |
Rating | : 4/5 ( Downloads) |
Download or read book Stopping High Inflation written by Carlos Végh and published by . This book was released on 2006 with total page 72 pages. Available in PDF, EPUB and Kindle. Book excerpt: This paper reviews the evidence on stabilization plans in high inflation countries within a unified theoretical framework. The evidence suggests that hyperinflations have been stopped almost instantaneously with no major output costs, while stabilization programs in chronic-inflation countries have resulted in an initial expansion followed by a later recession, in addition to a sustained real exchange rate appreciation and current account deficits. These outcomes turn out to be consistent with the predictions of the analytical model.