Price Reform and Durable Goods in the Transition to a Market Economy

36 Pages Posted: 15 Feb 2006

See all articles by Pierre-Richard Agenor

Pierre-Richard Agenor

University of Manchester - School of Social Sciences

Date Written: June 1993

Abstract

The paper examines the short- and long-term effects of price liberalization in a reforming socialist economy. The analysis is based on an optimizing framework that highlights hoarding behavior and the existence of parallel goods markets. The behavior of official and parallel market prices, stock of durables, and the velocity of money in the transition period between reform announcement and reform implementation is characterized, in the presence and absence of uncertainty about the transition date.

JEL Classification: D91, E31, E64

Suggested Citation

Agenor, Pierre-Richard, Price Reform and Durable Goods in the Transition to a Market Economy (June 1993). IMF Working Paper, Vol. , pp. 1-36, 1993. Available at SSRN: https://ssrn.com/abstract=883508

Pierre-Richard Agenor (Contact Author)

University of Manchester - School of Social Sciences ( email )

Oxford Road
Manchester, M13 9PL
United Kingdom

Register to save articles to
your library

Register

Paper statistics

Downloads
32
Abstract Views
537
PlumX Metrics