درجه باز بودن تجاری برای بی ثباتی کل مهم است؟
|کد مقاله||سال انتشار||مقاله انگلیسی||ترجمه فارسی||تعداد کلمات|
|49921||2005||28 صفحه PDF||سفارش دهید||12588 کلمه|
Publisher : Elsevier - Science Direct (الزویر - ساینس دایرکت)
Journal : Journal of Economic Dynamics and Control, Volume 29, Issue 7, July 2005, Pages 1165–1192
This paper presents a cash-in-advance model of a small open economy and shows that whether an inflation-targeting interest rate rule introduces aggregate instability depends in general on the degree of openness to international trade. This result emerges regardless of whether prices are sticky or flexible. In a closed economy, as the monetary authority responds to movements in inflation, the resulting changes in interest rates affect aggregate consumption through an intertemporal substitution effect and an inflation tax effect. In a small open economy, this policy also induces changes in the terms of trade, which, depending on the degree of openness, can generate counteracting effects on consumption. As a consequence, the implications of interest rate rules on macroeconomic stability in an open economy differ from those in a closed economy.