Search

Your search keyword '"Konya, Istvan"' showing total 25 results
Start Over Author "Konya, Istvan"
25 results on '"Konya, Istvan"'

23. Economic Development, Exchange Rates, and the Structure of Trade

Author

Konya, Istvan

Subjects
Economic development, Exchange rate pass-through, ddc:330, F12, International trade, F41, F31
Abstract

The paper builds a two-country open economy model of incomplete exchange rate pass-through. The paper contributes to the existing literature in two ways. First, incomplete pass-through is the result of price discrimination, and not any assumption about price rigidities. The flexible-price model is capable of delivering empirically plausible magnitudes of pass-through, as long as the exchange rate shock is temporary and not very persistent. Second, the model is also used to shed light on the empirically observed differences in exchange rate pass-through between developing and developed countries. In particular, the discrepancy is explained by the different composition of consumption and trade patterns of rich and poor countries - an assumption to which some empirical support is also presented.

Published
2005

25. Development accounting with wedges: the experience of six European countries.

Author

Konya, Istvan

Subjects
BUSINESS cycle accounting, CAPITAL market, LABOR market, ECONOMIC development, INCOME inequality
Abstract

The paper interprets the growth experience of three Western European countries (France, Germany and the UK) and three Central-Eastern European economies (the Czech Republic, Hungary, and Poland) through the lens of the neoclassical growth model. It combines the methodologies of Development Accounting (Caselli, F. 2005. "Accounting for Cross-Country Income Differences." In Handbook of Economic Growth, Chapter 9, 679-741.) and Business Cycle Accounting (Chari, V. V., P. J. Kehoe, and E. R. McGrattan. 2007. "Business Cycle Accounting." Econometrica 75 (3): 781-836.) to calculate distortions - "wedges" - in production efficiency, and in the labor and capital markets. The exercise sheds light on the extent and evolution of factor market distortions between 1996 and 2009. The main result of the paper is that capital and labor market distortions do not explain income differences across the two country groups, but are important to understand income differences within groups. In addition, observed labor and capital taxes are related to the measured wedges, but significant unexplained components remain. Reducing labor and capital market distortions would lead to significant output gains in all countries. [ABSTRACT FROM AUTHOR]

Published
2013
Full Text
View/download PDF

Catalog

Books, media, physical & digital resources
See catalog results