The Balassa-Samuelson effect in Central and Eastern Europe: Myth or reality?
dc.contributor.author | Égert, Balázs | en_US |
dc.contributor.author | Drine, Imed | en_US |
dc.contributor.author | Lommatzsch, Kirsten | en_US |
dc.contributor.author | Rault, Christophe | en_US |
dc.date.accessioned | 2006-08-01T16:03:00Z | |
dc.date.available | 2006-08-01T16:03:00Z | |
dc.date.issued | 2002-07-01 | en_US |
dc.identifier.other | RePEc:wdi:papers:2002-483 | en_US |
dc.identifier.uri | https://hdl.handle.net/2027.42/39868 | en_US |
dc.description.abstract | This paper studies the Balassa-Samuelson effect in 9 CEECs . Using panel cointegration techniques, we find strong empirical evidence in favour of what we call the internal transmission mechanism since productivity growth in the open sector is found to bring about non-tradable inflation. However, we also shed new light on the fact that the impact of the internal transmission mechanism on overall inflation is considerably attenuated by the low share of non-tradables in the consumer price index. Furthermore, we argue that because of this and the high share of food items and regulated prices, the CPI may be misleading when analysing the Balassa-Samuelson effect. The paper also shows that the appreciation of the transition economies' real exchange rate, which has become something of a stylised fact over the last decade is only partly caused not the Balassa-Samuelson effect. Instead, we argue that a trend increase in tradable prices is behind this phenomenon. | en_US |
dc.format.extent | 86651 bytes | |
dc.format.extent | 3151 bytes | |
dc.format.extent | 555901 bytes | |
dc.format.mimetype | text/plain | |
dc.format.mimetype | text/plain | |
dc.format.mimetype | application/pdf | |
dc.language.iso | en_US | en_US |
dc.relation.ispartofseries | 483 | en_US |
dc.subject | Balassa-Samuelson Effect, Panel Cointegration, Transition Economies, EMU | en_US |
dc.subject.other | E31, F31, C15 | en_US |
dc.title | The Balassa-Samuelson effect in Central and Eastern Europe: Myth or reality? | en_US |
dc.type | Working Paper | en_US |
dc.subject.hlbsecondlevel | Economics | en_US |
dc.subject.hlbtoplevel | Business | en_US |
dc.description.bitstreamurl | http://deepblue.lib.umich.edu/bitstream/2027.42/39868/3/wp483.pdf | en_US |
dc.owningcollname | William Davidson Institute (WDI) - Working Papers |
Files in this item
Remediation of Harmful Language
The University of Michigan Library aims to describe library materials in a way that respects the people and communities who create, use, and are represented in our collections. Report harmful or offensive language in catalog records, finding aids, or elsewhere in our collections anonymously through our metadata feedback form. More information at Remediation of Harmful Language.
Accessibility
If you are unable to use this file in its current format, please select the Contact Us link and we can modify it to make it more accessible to you.