imports into a theory of macro-economic adjustment derives from the particular set of events that have affected the industrial … economies in the 1970's -- the unprecedented rise in raw materials prices, in particular the oil price shock, and the …

economies, we find that the main driver of consumer price inflation is the global demand shock. A negative global demand shock … pass-through following this shock is of opposite sign to what is usually expected. Finally, exogenous shocks to the …