Inflation, Inequality, and Social Conflict / / Christopher Crowe

• Record Nr.: UNINA9910788406703321
• Autore: Crowe Christopher
• Pubbl/distr/stampa: Washington, D.C. : , : International Monetary Fund, , 2006
• ISBN: 1-4623-8713-6; 1-4527-7637-7; 1-283-51576-8; 1-4519-8393-X; 9786613828217
• Descrizione fisica: 1 online resource (39 p.)
• Collana: IMF Working Papers
• Soggetti: Income distribution - Econometric models; Inflation (Finance) - Social aspects; Inflation; Macroeconomics; Political Economy; Aggregate Factor Income Distribution; Price Level; Deflation; Personal Income, Wealth, and Their Distributions; Political economy; Income inequality; Income distribution; Personal income; Prices; Income; Economics; United States
• Lingua di pubblicazione: Inglese
• Formato: Materiale a stampa
• Livello bibliografico: Monografia
• Note generali: "June 2006."
• Nota di bibliografia: Includes bibliographical references.
• Nota di contenuto: ""Contents""; ""I. Introduction""; ""II. Household Optimization""; ""III. ; Political Optimization""; ""IV. Empirical Analysis""; ""V. Concluding Remarks""
• Sommario/riassunto: This paper presents and then tests a political economy model to analyze the observed positive relationship between income inequality and inflation. The model's key features are unequal access to both inflation-hedging opportunities and the political process. The model predicts that inequality and 'elite bias' in the political system interact to create incentives for inflation. The paper's empirical section focuses on this predicted interaction effect. The identification strategy involves using the end of the Cold War as a source of exogenous variation in the political environment. It finds robust evidence in support of the model.