Towards a Politico-Economic Analysis of Inflation
JOURNAL ARTICLE
Cite JOURNAL ARTICLE
Style
Format
Towards a Politico-Economic Analysis of Inflation
Credit and Capital Markets – Kredit und Kapital, Vol. 13 (1980), Iss. 2 : pp. 215–238
Additional Information
Article Details
Zis, George
References
-
Claassen, E. (1977): “World Inflation under Flexible Exchange Rates”, in J. Herin, A. Lindbeck and J. Myhrman (eds.), Flexible Exchange Rates and Stabilization Policy, Macmillan, London.
Google Scholar -
Corden, M. (1977): “Inflation and the Exchange Rate Regime”, in J. Herin, A. Lindbeck and J. Myhrman (eds.), Flexible Exchange Rates and Stabilization Policy, Macmillan, London.
Google Scholar -
Flemming, J. (1976): Inflation, Oxford University Press, Oxford.
Google Scholar -
Frenkel, J. and H. G. Johnson (eds.) (1976): The Monetary Approach to the Balance of Payments, Allen and Unwin, London.
Google Scholar -
Friedman, M. (1966): “What Price Guideposts?”, in G. P. Shultz and R. Z. Aliber (eds.), Guidelines, Informal Controls and the Market Place, University of Chicago Press.
Google Scholar -
Friedman, M. (1968): “The Role of Monetary Policy”, American Economic Review.
Google Scholar -
Friedman, M. (1976): “Summary of the Discussion on Frenkel”, in E. Claassen and P. Salin (eds.), Recent Issues in International Monetary Economics, North- Holland, Amsterdam.
Google Scholar -
Genberg, H. (1976): “A Note on Inflation Rates Under Fixed Exchange Rates”, in M. Parkin and G. Zis (eds.) (1976 a).
Google Scholar -
Genberg, H. (1977): “The Concept and Measurement of the World Price Level and Rate of Inflation”, Journal of Monetary Economics.
Google Scholar -
Genberg, H. and A. K. Swoboda (1977): “Causes and Origins of the Current Worldwide Inflation”, in E. Lundberg (ed.), Inflation Theory and Anti-Inflation Policy, Macmillan, London.
Google Scholar -
Goldthorpe, J. H. (1978): “The Current Inflation: Towards a Sociological ccount”, in F. Hirsch and J. H. Goldthorpe (eds.)
Google Scholar -
Gordon, R. J. (1975): “The Demand for and Supply of Inflation”, The Journal of Law and Economics.
Google Scholar -
Hirsch, F. and J. H. Goldthorpe (eds.) (1978): The Political Economy of Inflation, Martin Robertson, London.
Google Scholar -
Johnson, H. G. (1977): Inflation and the Monetarist Controversy, North-Holland, Amsterdam.
Google Scholar -
Krause, L. B. and W. S. Salant (eds.) (1977): Worldwide Inflation, The Brookings Institution, Washington.
Google Scholar -
Laffer, A.B. and D. I. Meiselman (eds.) (1975): The Phenomenon of Worldwide Inflation, American Enterprise Institute for Public Policy Research, Washington.
Google Scholar -
Nordhaus, W. D. (1975): “The Political Business Cycle”, Review of Economic Studies.
Google Scholar -
Parkin, J. M. (1974): “Inflation, the Balance of Payments, Domestic Credit Expansion, and Rate Adjustments”, in R. Z. Aliber (ed.), National Monetary Policies and the International Financial System, The University of Chicago Press, Chicago.
Google Scholar -
Parkin, J. M. (1977): “World Inflation, International Relative Prices and Monetary Equilibrium under Fixed Exchange Rates”, in R. Z. Aliber (ed.), The Political Economy of Monetary Reform, Macmillan, London.
Google Scholar -
Parkin, J. M. and G. Zis (eds.) (1976): Inflation in the World Economy, Manchester University Press, Manchester.
Google Scholar -
Parkin, J.M. and G. Zis (eds.) (1976 b): Inflation in Open Economies, Manchester University Press, Manchester.
Google Scholar -
Rowthorn, R. E. (1977): “Conflict, Inflation and Money”, Cambridge Journal of Economics.
Google Scholar -
Sjaastad, L. A. (1976): “Why Stable Inflations Fail”, in J.M. Parkin and G. Zis (eds.) (1976 a).
Google Scholar -
Williamson, J. (1973): “International Liquidity - A Survey”, Economic Journal.
Google Scholar
Abstract
Towards a Politico-Economic Analysis of Inflation
Increasing acceptance of the proposition that “money matters” and, therefore, that control of the money supply growth rate is necessary, though not necessarily sufficient for the control of the rate of inflation has been accompanied by a growing interest in the determinants of countries’ monetary policies. This paper surveys a number of studies which have sought to analyse the determinants of inflation in broad politico-economic terms. It is observed that these studies treat inflation as an essentially national phenomenon. Therefore, they cannot provide an adequate foundation for an explanation of the convergence, and divergence since 1973, of the major countries’ inflation rates. An attempt is made to modify Gordon’s study to apply for an open economy. It is argued that a politico-economic theory of inflation should explain why countries adopted the international monetary arrangements which have prevailed since 1945 and that fixity of exchange rates combined with the use of an international asset, such as the S.D.R. or E.C.U., would facilitate success in governments’ efforts to stabilize or reduce the rate of inflation.