 | World Food Prices, the Terms of Trade-Real Exchange Rate Nexus, and Monetary Policy Author/Editor: Luis Catão, Roberto Chang. Release Date:May, 2013 How should monetary policy respond to large fluctuations in world food prices? We study this question in an open economy model in which imported food has a larger weight in domestic consumption than more...
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| World Food Prices and Monetary Policy Author/Editor: Roberto Chang, Luis Catão. Release Date:July, 2010 The large swings in world food prices in recent years renew interest in the question of how monetary policy in small open economies should react to such imported price shocks. We examine this issue more...
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