Forte, Antonio (2009): The pass-through effect: a twofold analysis.
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In this paper I analyse the pass-through effect in four big areas using different approaches. On the one hand, I inspect this issue comparing the REER (real effective exchange rate) with the WARP (weighted average relative price) in the US, the UK, Japan and the Euro area. On the other hand, I try to support the findings of the first part with a double econometric analysis: I employ single equation and Var approaches in order to provide wide and robust results. The global conclusion is that in the major economies of the world the pass-through effect has been very light from January 1999 onward and that, especially in the Euro area, this result is linked with the firms behaviour.
|Item Type:||MPRA Paper|
|Original Title:||The pass-through effect: a twofold analysis|
|Keywords:||Pass-Through effect, WARP, exchange rate|
|Subjects:||E - Macroeconomics and Monetary Economics > E3 - Prices, Business Fluctuations, and Cycles > E31 - Price Level; Inflation; Deflation
F - International Economics > F4 - Macroeconomic Aspects of International Trade and Finance > F41 - Open Economy Macroeconomics
F - International Economics > F3 - International Finance > F31 - Foreign Exchange
|Depositing User:||Antonio Forte|
|Date Deposited:||11. Dec 2009 07:53|
|Last Modified:||22. Feb 2013 17:13|
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The pass-through effect: a twofold analysis. (deposited 02. Aug 2009 02:12)
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