Common Trends and Structural Change : A Dynamic Macro Model for the Pre- and Postrevolution Islamic Republic of Iran /

This paper uses a common trends model to study how prices, the black market exchange rate, money, and real output have developed over a period covering both pre- and post-revolution Iranian data. It is shown that monetary shocks have significant short-run effects on output, but permanent effects on...

Ausführliche Beschreibung

Bibliographische Detailangaben
1. Verfasser: Becker, Torbjorn
Format: Zeitschrift
Sprache:English
Veröffentlicht: Washington, D.C. : International Monetary Fund, 1999.
Schriftenreihe:IMF Working Papers; Working Paper ; No. 1999/082
Online Zugang:Full text available on IMF
Beschreibung
Zusammenfassung:This paper uses a common trends model to study how prices, the black market exchange rate, money, and real output have developed over a period covering both pre- and post-revolution Iranian data. It is shown that monetary shocks have significant short-run effects on output, but permanent effects on the price level and exchange rate, that is, expansionary monetary policy is not consistent with achieving low inflation or a stable unified exchange rate. The real shocks generate higher growth and lower inflation, suggesting that supply-side policies are consistent with the goals in the Islamic Republic of Iran's second five-year development plan.
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Beschreibung:1 online resource (30 pages)
Format:Mode of access: Internet
ISSN:1018-5941
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