Examining the extent of exchange rate pass-through (ERPT) to domestic prices has substantial significance for policymaking given the ongoing devaluation of the Ethiopian currency. This study aimed to investigate the impact of exchange rate pass-through (ERPT) on domestic prices in Ethiopia...

This paper studies exchange rate pass-through to food and energy consumer price inflation and its dependence on the inflation environment using cross-country panel estimation of Phillips curves. It considers a large panel of OECD member and candidate economies with quarterly data from 1994 to...

Using the model proposed in Krugman and Taylor's "Contractionary effects of devaluation" (1978), we examine what macroeconomic effects of shocks to foreign prices. We show that these shocks can be contractionary for two reasons: (i) because they imply a loss of income if an economy has a trade...

Adherence to the classical gold standard entailed nominal exchange rate rigidity between member countries. A failure of price levels to co-move between members would thus lead to real exchange rate misalignment, with potential trade imbalances and financial crises following. We examine inflation...

The purpose of this paper is to examine the inflation differentials and their determinants in the first twelve euro countries that formed the eurozone. We focus on only these countries to capture the effects through the last 22 years from 1999 to 2020, without taking into consideration the...