Okano, Eiji; Eguchi, Masataka; Gunji, Hiroshi; … - Institute of Economic Research, Hitotsubashi University - 2012
pricing by developing two-country DSGE local currency pricing and producer currency pricing models. We estimate our models … that local currency pricing is strongly supported against producer currency pricing. From the estimated parameters, we show …We analyze fluctuations in inflation and the nominal exchange rate under optimal monetary policy with local currency …