Hostname: page-component-78c5997874-t5tsf Total loading time: 0 Render date: 2024-11-05T12:28:03.487Z Has data issue: false hasContentIssue false
  • English
  • Français

Employment and the Balance of Trade for a Small Open Economy with a Phillips Curve

Published online by Cambridge University Press:  17 August 2016

Howard C. Petith
Howard C. Petith*
Affiliation:
University College, Swansea
Get access

Extract

It is now common to encounter references to Phillips’ curves when the problems of particular trading nations are being discussed in academic journals. In addition there are a smaller number of papers which provide a theoretical analysis of one aspect or another of a Phillips curve augmented model of the balance of payments. But to the author’s knowledge, there is no simple account available of the general results which follow from adding a Phillips relation to a Keynesian model of a small open economy. The purpose of this paper is to give such an account and then to provide a brief discussion of the possible extensions and the problems inherent in this approach to the balance of payments.

Type
Research Article
Information
Recherches Économiques de Louvain/ Louvain Economic Review , Volume 43 , Issue 1 , March 1977 , pp. 67 - 73
Copyright
Copyright © Université catholique de Louvain, Institut de recherches économiques et sociales 1977 

Access options

Get access to the full version of this content by using one of the access options below. (Log in options will check for institutional or personal access. Content may require purchase if you do not have access.)

References

Akerlof, G.A., (1969) « Relative Wages and the Rate of Inflation » Quarterly Journal of Economics, Vol. 83, n° 3, pp. 353–375.10.2307/1880526Google Scholar
Ball, R.J. and Burns, T., (1976) « The Inflationary Mechanism in the UK Economy » American Economic Review, Vol. 66, n° 4, pp. 467–483.Google Scholar
Branson, W.H. (1975) « Monetarist and Keynesian Models of the Transmission of Inflation », American Economic Review, Vol. 65, n° 2, pp. 115–119.Google Scholar
Calmfors, L., (1976) « Inflation and Unemployment in a Small Open Economy », working paper, I.I.E.S., Stockholm.Google Scholar
Flemming, J.M., (1971) « On Exchange Rate Unification », Economie Journal, Vol. 81, n° 323, pp. 467–489.Google Scholar
Fried, J., (1973) « Inflation-Unemployment Trade-Offs under Fixed and Floating Exchange Rates », Canadian Journal of Economics, August 512-22.10.2307/133861Google Scholar
Laidler, D., (1976) « Inflation in Britain: A Monetarist Perspective », American Economic Review. Vol. 66, n° 4. pp. 485–500.Google Scholar
Miller, M., (1976) « Can a Rise in Import Prices be Inflationary and Deflationary? » American Economic Review, Vol. 66, n° 4, pp. 501–515.Google Scholar
Peterson, D.W., Lerner, E.M. and Lusk, E.J., (1971) « The Response of Prices and Income to Monetary Policy » An Analysis Based on a Differential Phillips Curve », Journal of Political Economy, Vol. 79, n° 4, pp. 857–866.10.1086/259792Google Scholar
Petith, H.C., (1974) « Labor Unions, Inflation and the Balance of Trade », working paper, Institut des Sciences Economiques, Université Catholique de Louvain. Google Scholar
Petith, H.C., (1975 a) « Labour Unions and the Keynesian Approach to the Balance of Trade », typescript.Google Scholar
Petith, H.C., (1975 b) « Search Unemployment and the Balance of Trade », typescript.Google Scholar
Phelps, E.S., (1970) Microeconomic Foundations of Employment and Inflation Theory (W.W. Norton and Company, New York.Google Scholar
Phelps, E.S., (1972) Inflation and Employment Theory (Macmillan, London).Google Scholar
Scarfe, B.L., (1973) « A Model of the Inflation Cycle in a Small Open Economy », Oxford Economic Papers, pp. 192–203.Google Scholar
Turnovsky, S.J. and Kaspura, A., (1974) « The Analysis of Imported Inflation in a Short Run Macro Model », The Canadian Journal of Economics, pp. 355-80.10.2307/134035Google Scholar
Williamson, J. and Wood, G.E., (1976) « The British Inflation, Indigenous or Imported? » American Economic Review, Vol. 66, n° 4, pp. 520–531.Google Scholar