skip to content
Expenditure switching and exchange rate policy Preview this item
ClosePreview this item
Checking...

Expenditure switching and exchange rate policy

Author: Charles Engel; National Bureau of Economic Research.
Publisher: Cambridge, MA. : National Bureau of Economic Research, ©2002.
Series: Working paper series (National Bureau of Economic Research), no. 9016.
Edition/Format:   eBook : Document : EnglishView all editions and formats
Summary:
Abstract: Nominal exchange rate changes can lead to 'expenditure switching' when they change relative international prices. A traditional argument for flexible nominal exchange rates posits that when prices are sticky in producers' currencies, nominal exchange rate movements can change relative prices between home and foreign goods. But if prices are fixed ex ante in consumers' currencies, nominal exchange rate  Read more...
Rating:

(not yet rated) 0 with reviews - Be the first.

Subjects
More like this

 

Find a copy in the library

&AllPage.SpinnerRetrieving; Finding libraries that hold this item...

Details

Additional Physical Format: Print version:
Engel, Charles.
Expenditure switching and exchange rate policy.
Cambridge, MA. : National Bureau of Economic Research, ©2002
(OCoLC)50172736
Material Type: Document, Internet resource
Document Type: Internet Resource, Computer File
All Authors / Contributors: Charles Engel; National Bureau of Economic Research.
OCLC Number: 50408079
Notes: "June 2002."
Reproduction Notes: Electronic reproduction. [S.l.] : HathiTrust Digital Library, 2010. MiAaHDL
Description: 1 online resource (41, 21 pages) : illustrations.
Details: Master and use copy. Digital master created according to Benchmark for Faithful Digital Reproductions of Monographs and Serials, Version 1. Digital Library Federation, December 2002.
Series Title: Working paper series (National Bureau of Economic Research), no. 9016.
Responsibility: Charles Engel.

Abstract:

Abstract: Nominal exchange rate changes can lead to 'expenditure switching' when they change relative international prices. A traditional argument for flexible nominal exchange rates posits that when prices are sticky in producers' currencies, nominal exchange rate movements can change relative prices between home and foreign goods. But if prices are fixed ex ante in consumers' currencies, nominal exchange rate flexibility cannot achieve any relative price adjustment. In that case nominal exchange rate fluctuations have the undesirable feature that they lead to deviations from the law of one price. The case for floating exchange rates is weakened if prices are sticky in this way. The empirical literature appears to support the notion that prices are sticky in consumers' currencies. Here, additional support for this conclusion is provided. We then review some new approaches in the theoretical literature that imply an important expenditure-switching role even when consumer prices are sticky in consumers' currencies. Further empirical research is needed to resolve the quantitative importance of the expenditure-switching role for nominal exchange rates.

Reviews

User-contributed reviews
Retrieving GoodReads reviews...
Retrieving DOGObooks reviews...

Tags

Be the first.

Similar Items

Related Subjects:(2)

Confirm this request

You may have already requested this item. Please select Ok if you would like to proceed with this request anyway.

Linked Data


Primary Entity

<http://www.worldcat.org/oclc/50408079> # Expenditure switching and exchange rate policy
    a schema:MediaObject, schema:Book, schema:CreativeWork ;
   library:oclcnum "50408079" ;
   library:placeOfPublication <http://id.loc.gov/vocabulary/countries/mau> ;
   library:placeOfPublication <http://experiment.worldcat.org/entity/work/data/3769131681#Place/cambridge_ma> ; # Cambridge, MA.
   schema:about <http://id.worldcat.org/fast/931816> ; # Foreign exchange rates
   schema:about <http://id.worldcat.org/fast/1076207> ; # Prices
   schema:bookFormat schema:EBook ;
   schema:contributor <http://viaf.org/viaf/135446122> ; # National Bureau of Economic Research.
   schema:copyrightYear "2002" ;
   schema:creator <http://viaf.org/viaf/60157230> ; # Charles Engel
   schema:datePublished "2002" ;
   schema:description "Abstract: Nominal exchange rate changes can lead to 'expenditure switching' when they change relative international prices. A traditional argument for flexible nominal exchange rates posits that when prices are sticky in producers' currencies, nominal exchange rate movements can change relative prices between home and foreign goods. But if prices are fixed ex ante in consumers' currencies, nominal exchange rate flexibility cannot achieve any relative price adjustment. In that case nominal exchange rate fluctuations have the undesirable feature that they lead to deviations from the law of one price. The case for floating exchange rates is weakened if prices are sticky in this way. The empirical literature appears to support the notion that prices are sticky in consumers' currencies. Here, additional support for this conclusion is provided. We then review some new approaches in the theoretical literature that imply an important expenditure-switching role even when consumer prices are sticky in consumers' currencies. Further empirical research is needed to resolve the quantitative importance of the expenditure-switching role for nominal exchange rates."@en ;
   schema:exampleOfWork <http://worldcat.org/entity/work/id/3769131681> ;
   schema:inLanguage "en" ;
   schema:isPartOf <http://experiment.worldcat.org/entity/work/data/3769131681#Series/working_paper_series_national_bureau_of_economic_research> ; # Working paper series (National Bureau of Economic Research) ;
   schema:isPartOf <http://experiment.worldcat.org/entity/work/data/3769131681#Series/nber_working_paper_series> ; # NBER working paper series ;
   schema:isSimilarTo <http://www.worldcat.org/oclc/50172736> ;
   schema:name "Expenditure switching and exchange rate policy"@en ;
   schema:productID "50408079" ;
   schema:publication <http://www.worldcat.org/title/-/oclc/50408079#PublicationEvent/cambridge_ma_national_bureau_of_economic_research_2002> ;
   schema:publisher <http://experiment.worldcat.org/entity/work/data/3769131681#Agent/national_bureau_of_economic_research> ; # National Bureau of Economic Research
   schema:url <http://nber.org/papers/w9016> ;
   schema:url <http://catalog.hathitrust.org/api/volumes/oclc/50172736.html> ;
   wdrs:describedby <http://www.worldcat.org/title/-/oclc/50408079> ;
    .


Related Entities

<http://experiment.worldcat.org/entity/work/data/3769131681#Agent/national_bureau_of_economic_research> # National Bureau of Economic Research
    a bgn:Agent ;
   schema:name "National Bureau of Economic Research" ;
    .

<http://experiment.worldcat.org/entity/work/data/3769131681#Series/nber_working_paper_series> # NBER working paper series ;
    a bgn:PublicationSeries ;
   schema:hasPart <http://www.worldcat.org/oclc/50408079> ; # Expenditure switching and exchange rate policy
   schema:name "NBER working paper series ;" ;
    .

<http://experiment.worldcat.org/entity/work/data/3769131681#Series/working_paper_series_national_bureau_of_economic_research> # Working paper series (National Bureau of Economic Research) ;
    a bgn:PublicationSeries ;
   schema:hasPart <http://www.worldcat.org/oclc/50408079> ; # Expenditure switching and exchange rate policy
   schema:name "Working paper series (National Bureau of Economic Research) ;" ;
    .

<http://id.worldcat.org/fast/1076207> # Prices
    a schema:Intangible ;
   schema:name "Prices"@en ;
    .

<http://id.worldcat.org/fast/931816> # Foreign exchange rates
    a schema:Intangible ;
   schema:name "Foreign exchange rates"@en ;
    .

<http://viaf.org/viaf/135446122> # National Bureau of Economic Research.
    a schema:Organization ;
   schema:name "National Bureau of Economic Research." ;
    .

<http://viaf.org/viaf/60157230> # Charles Engel
    a schema:Person ;
   schema:familyName "Engel" ;
   schema:givenName "Charles" ;
   schema:name "Charles Engel" ;
    .

<http://www.worldcat.org/oclc/50172736>
    a schema:CreativeWork ;
   rdfs:label "Expenditure switching and exchange rate policy." ;
   schema:description "Print version:" ;
   schema:isSimilarTo <http://www.worldcat.org/oclc/50408079> ; # Expenditure switching and exchange rate policy
    .


Content-negotiable representations

Close Window

Please sign in to WorldCat 

Don't have an account? You can easily create a free account.