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Foreign Supply Shocks, Wage Indexation and Optimal Monetary Policy

  • Franz X. Hof
Part of the International Economic Association Series book series (IEA)

Abstract

During the last two decades the major changes in the price of imported raw materials substantially affected the economic performance of OECD countries. Consequently, there has been extensive theoretical and political debate about the proper adjustment to these external shocks, and whether monetary policy should be accommodating in the event of rising energy prices.

Keywords

Monetary Policy Real Exchange Rate Purchase Power Parity Nominal Wage Supply Shock 
These keywords were added by machine and not by the authors. This process is experimental and the keywords may be updated as the learning algorithm improves.

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Copyright information

© International Economic Association 1993

Authors and Affiliations

  • Franz X. Hof
    • 1
  1. 1.University of TechnologyViennaAustria

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