MARC Record from Library of Congress

LEADER: 02787cam a22003497a 4500
001 2005616941
003 DLC
005 20050315115508.0
007 cr |||||||||||
008 050315s2005 mau sb 000 0 eng
010 $a 2005616941
040 $aDLC$cDLC
043 $ad------
050 00 $aHB1
100 1 $aFrankel, Jeffrey A.
245 10 $aSlow passthrough around the world$h[electronic resource] :$ba new import for developing countries? /$cJeffrey A. Frankel, David C. Parsley, Shang-Jin Wei.
260 $aCambridge, MA :$bNational Bureau of Economic Research,$cc2005.
490 1 $aNBER working paper series ;$vworking paper 11199
538 $aSystem requirements: Adobe Acrobat Reader.
538 $aMode of access: World Wide Web.
500 $aTitle from PDF file as viewed on 3/15/2005.
530 $aAlso available in print.
504 $aIncludes bibliographical references.
520 3 $a"Developing countries traditionally exhibit passthrough of exchange rate changes that is greater and more rapid than high-income countries, but have experienced a rapid downward trend in recent years in the degree of short-run passthrough, and in the adjustment speed. As a consequence, slow and incomplete passthrough is no longer exclusively a luxury of industrial countries. Using a new data set--prices of eight narrowly defined brand commodities, observed in 76 countries --we find empirical support for some of the factors that have been hypothesized in the literature, but not for others. Significant determinants of the passthrough coefficient include per capita incomes, bilateral distance, tariffs, country size, wages, long-term inflation, and long-term exchange rate variability. Some of these factors changed during the 1990s. Part (and only part) of the downward trend in passthrough to imported goods prices, and in turn to competitors' prices and the CPI, can be explained by changes in the monetary environment. Real wages also work to reduce passthrough to competitors' prices and the CPI, confirming the hypothesized role of distribution and retail costs in pricing to market. Rising distribution costs, due perhaps to the Balassa-Samuelson-Baumol effect, could contribute to the decline in the passthrough coefficient in some developing countries"--National Bureau of Economic Research web site.
650 0 $aForeign exchange rates$zDeveloping countries.
650 0 $aInflation (Finance)$zDeveloping countries.
650 0 $aImports$xPrices$zDeveloping countries.
700 1 $aParsley, David C.
700 1 $aWei, Shang-Jin.
710 2 $aNational Bureau of Economic Research.
830 0 $aWorking paper series (National Bureau of Economic Research : Online) ;$vworking paper no. 11199.
856 40 $uhttp://papers.nber.org/papers/w11199