| Revista: | Journal of applied economics |
| Base de datos: | CLASE |
| Número de sistema: | 000399387 |
| ISSN: | 1667-6726 |
| Autores: | Nogueira-Junior, Reginaldo P1 León-Ledesma, Miguel A2 |
| Instituciones: | 1Instituto Brasileiro de Mercado de Capitais, Belo Horizonte, Minas Gerais. Brasil 2University of Kent, Canterbury, Kent. Reino Unido |
| Año: | 2011 |
| Periodo: | May |
| Volumen: | 14 |
| Número: | 1 |
| Paginación: | 167-180 |
| País: | Argentina |
| Idioma: | Inglés |
| Tipo de documento: | Artículo |
| Enfoque: | Aplicado |
| Resumen en inglés | We argue that, theoretically, exchange rate pass-through (ERPT) into consumer prices may be nonlinear in contrast to standard linear estimates found in the literature. ERPT can be higher in periods of financial or confidence crises, when firms have no incentive to absorb cost increases in their margins. We test this hypothesis applying a logistic smooth transition (LSTR) model to Mexican data. Using two different measures of macroeconomic instability as transition variables, we find that ERPT does seem to increase in periods of macroeconomic distress, which highlights the importance of a stable macroeconomic environment in reducing ERPT in emerging markets |
| Disciplinas: | Economía |
| Palabras clave: | Econometría, Precios, Teorías económicas, Banca, Condiciones económicas, Tipo de cambio, Mercados emergentes, Macroeconomía |
| Texto completo: | Texto completo (Ver PDF) |
