Publication:
Disinflation and the Supply Side

Simple item page
dc.contributor.authorAgenor, Pierre-Richard
dc.contributor.authorLodovico, Pizzati
dc.date.accessioned2014-08-28T19:09:40Z
dc.date.available2014-08-28T19:09:40Z
dc.date.issued2000-03
dc.description.abstractThe authors study the dynamics of output, consumption, and real wages induced by a disinflation program based on permanent and temporary reductions in the nominal devaluation rate. They use an intertemporal optimizing model of a small open economy in which domestic households face imperfect world capital markets, the labor supply is endogenous, and wages are flexible. The model predicts that, with a constant capital stock and no investment, there is an initial reduction in real wages and output expands. Consumption falls on impact but increases afterward. In addition, with a temporary shock, a current account deficit emerges and, later a recession sets in, as documented in various studies. With endogenous capital accumulation, numerical simulations show that the model can also predict a boom in investment.en
dc.identifierhttp://documents.worldbank.org/curated/en/2000/03/437968/disinflation-supply-side
dc.identifier.doi10.1596/1813-9450-2304
dc.identifier.urihttps://hdl.handle.net/10986/19846
dc.languageEnglish
dc.language.isoen_US
dc.publisherWorld Bank, Washington, DC
dc.relation.ispartofseriesPolicy Research Working Paper;No. 2304
dc.rightsCC BY 3.0 IGO
dc.rights.urihttp://creativecommons.org/licenses/by/3.0/igo/
dc.subjectASSETS
dc.subjectBORROWING
dc.subjectCAPITAL ACCUMULATION
dc.subjectCAPITAL GAINS
dc.subjectCAPITAL GOODS
dc.subjectCAPITAL MARKETS
dc.subjectCAPITAL MOBILITY
dc.subjectCAPITAL STOCK
dc.subjectCAPITAL- LABOR
dc.subjectCENTRAL BANK
dc.subjectCONSTANT RATE
dc.subjectCONSTANT RETURNS
dc.subjectCONSTANT RETURNS TO SCALE
dc.subjectCONSUMERS
dc.subjectCONSUMPTION INCREASES
dc.subjectCOUNTRY RISK
dc.subjectCURRENT ACCOUNT BALANCE
dc.subjectCURRENT ACCOUNTS
dc.subjectDEBT
dc.subjectDECREASING RETURNS
dc.subjectDEFICITS
dc.subjectDEMAND ELASTICITY
dc.subjectDEVALUATION
dc.subjectDISINFLATION
dc.subjectDYNAMIC MODEL
dc.subjectEARNINGS
dc.subjectELASTICITIES
dc.subjectELASTICITY
dc.subjectELASTICITY OF SUBSTITUTION
dc.subjectEMPIRICAL EVIDENCE
dc.subjectEMPIRICAL STUDIES
dc.subjectEMPLOYMENT
dc.subjectENDOGENOUS VARIABLE
dc.subjectEQUILIBRIUM
dc.subjectEXCESS DEMAND
dc.subjectEXCHANGE RATE
dc.subjectEXCHANGE RATE APPRECIATION
dc.subjectEXTERNAL DEBT
dc.subjectFIRST YEAR
dc.subjectFOREIGN ASSETS
dc.subjectFOREIGN CURRENCY
dc.subjectGOVERNMENT BONDS
dc.subjectGOVERNMENT EXPENDITURE
dc.subjectGROSS INVESTMENT
dc.subjectIMPORTS
dc.subjectINCOME
dc.subjectINCOME EFFECT
dc.subjectINCREASE IN LABOR
dc.subjectINFLATION RATE
dc.subjectINTEREST RATE
dc.subjectLABOR SUPPLY
dc.subjectLEISURE
dc.subjectLEVEL OF OUTPUT
dc.subjectMARGINAL COST
dc.subjectMARGINAL PRODUCT
dc.subjectMARGINAL PRODUCTIVITY
dc.subjectMARGINAL UTILITY
dc.subjectMARGINAL VALUE
dc.subjectMARKET VALUE
dc.subjectMONEY BALANCES
dc.subjectMONEY DEMAND
dc.subjectMONEY MARKET
dc.subjectMONEY STOCK
dc.subjectMONEY SUPPLY
dc.subjectNET INCOME
dc.subjectNET INVESTMENT
dc.subjectNET WORTH
dc.subjectNOMINAL INTEREST RATE
dc.subjectNOMINAL INTEREST RATES
dc.subjectNUMERICAL SIMULATIONS
dc.subjectOFFICIAL RESERVES
dc.subjectOPPORTUNITY COST
dc.subjectPRESENT PRICES
dc.subjectPRESENT VALUE
dc.subjectPRIVATE CONSUMPTION
dc.subjectPRODUCERS
dc.subjectPRODUCTION FUNCTION
dc.subjectPRODUCTION INPUTS
dc.subjectPRODUCTION PROCESS
dc.subjectPRODUCTION TECHNOLOGY
dc.subjectRATE OF RETURN
dc.subjectREAL EXCHANGE RATE
dc.subjectREAL INTEREST RATE
dc.subjectREAL RATE OF INTEREST
dc.subjectREAL WAGE
dc.subjectREAL WAGES
dc.subjectRECESSION
dc.subjectRESERVES
dc.subjectRISK PREMIUM
dc.subjectSCENARIOS
dc.subjectSIDE EFFECTS
dc.subjectSIMULATION TECHNIQUES
dc.subjectSTABILIZATION
dc.subjectSTABILIZATION PROGRAMS
dc.subjectSTATE EQUILIBRIUM
dc.subjectSUPPLY CURVE
dc.subjectTOTAL CONSUMPTION
dc.subjectTOTAL OUTPUT
dc.subjectTRADE BALANCE
dc.subjectTRADE DEFICIT
dc.subjectUTILITY FUNCTION
dc.subjectWAGES
dc.subjectWEALTH
dc.titleDisinflation and the Supply Sideen
dspace.entity.typePublication
okr.crossref.titleDisinflation and the Supply Side
okr.date.disclosure2000-03-31
okr.date.doiregistration2025-04-10T10:52:26.174738Z
okr.doctypePublications & Research::Policy Research Working Paper
okr.doctypePublications & Research
okr.docurlhttp://documents.worldbank.org/curated/en/2000/03/437968/disinflation-supply-side
okr.globalpracticeMacroeconomics and Fiscal Management
okr.globalpracticeFinance and Markets
okr.guid697471468766820775
okr.identifier.doi10.1596/1813-9450-2304
okr.identifier.externaldocumentum000094946_00040605325256
okr.identifier.internaldocumentum437968
okr.identifier.reportWPS2304
okr.language.supporteden
okr.pdfurlhttp://www-wds.worldbank.org/external/default/WDSContentServer/WDSP/IB/2000/04/19/000094946_00040605325256/Rendered/PDF/multi_page.pdfen
okr.themeEconomic management :: Analysis of economic growth
okr.themeEconomic management :: Macroeconomic management
okr.topicEconomic Theory and Research
okr.topicBanks and Banking Reform
okr.topicEnvironmental Economics and Policies
okr.topicPayment Systems and Infrastructure
okr.topicMacroeconomics and Economic Growth::Economic Growth
okr.topicFiscal and Monetary Policy
okr.topicFinance and Financial Sector Development
okr.unitEconomic Policy and Poverty Reduction Division, World Bank Institute
okr.volume1
relation.isSeriesOfPublication26e071dc-b0bf-409c-b982-df2970295c87
relation.isSeriesOfPublication.latestForDiscovery26e071dc-b0bf-409c-b982-df2970295c87
Files
Original bundle
Now showing 1 - 2 of 2
Thumbnail Image
Name:
multi_page.pdf
Size:
1.61 MB
Format:
Adobe Portable Document Format
Download
No Thumbnail Available
Name:
multi_page.txt
Size:
64.88 KB
Format:
Plain Text
Download
License bundle
Now showing 1 - 1 of 1
No Thumbnail Available
Name:
license.txt
Size:
1.71 KB
Format:
Plain Text
Description:
Download
Collections
Policy Research Working Papers