| 1. |
- Corden, W.M., et al.
(författare)
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Booming Sector and De-Industrialisation in a Small Open Economy
- 1982
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Rapport (övrigt vetenskapligt/konstnärligt)abstract
- This paper presents a theoretical analysis of the 'Dutch Disease': the phenomenon whereby a boom in one traded goods sector squeezes porfitability in other traded goods sectors, both by directly bidding resources away from them and by placing upward pressure on the exchange rate. The effects of such a boom on resource allocation and income distribution are studied in a variant of the "Australian" modek of a small open economy, under different assummptions about the degree of intersectoral factor mobility.
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| 2. |
- Corden, W.M.
(författare)
-
Macroeconomic Policy Interaction Under Flexible Exchange Rates : A Two-Country Model
- 1983
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Rapport (övrigt vetenskapligt/konstnärligt)abstract
- This paper analyses macroeconomic policy interaction in a two.country flexible exchange rate model. Each country has a short-run non-vertical Phillips curve, and there is positive transmission of economic expansion through the terms of trade. The product real wage is distinguished from the income real wage, the latter also depending on the terms of trade, and a reduction in the former increasing employment. Inflation brings the actual income real wage below the target real wage. Non-co-coperative solutions (Nash and Stackelberg) are shown to have deflationary biases relative to Pareto-efficient outcomes which could be obtained by policy co-ordination. The special properties of the balanced expansion (constant terms of trade) path are explored. An important qualification to the whole analysis, taking into account intertemporal effects, is discussed at the end.
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| 3. |
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