Distribution of Export Price Risk in a Developing Country
CEPR Discussion Paper Series Number 1482
Posted: 23 Dec 1999
Date Written: September 1996
We address the issue of social distribution of an aggregate risk (on agricultural export price), from a macroeconomic perspective. Individual incomes in representative social groups are computed as a function of export prices, which are assumed to be stochastic, using an applied general equilibrium model of an archetype developing economy. The statistical properties of the resulting distribution of individual incomes are then examined. We consider a mapping of different policies on agricultural prices (stabilization or complete pass-through), monetary rules (accommodating or not) and exchange rate regimes (fixed versus flexible).
JEL Classification: D58, O11, D39
Suggested Citation: Suggested Citation