Credible disinflation : an incredible prospect? Australia in the 1980s : a case study

Philip, Pradeep. (1991). Credible disinflation : an incredible prospect? Australia in the 1980s : a case study Honours Thesis, School of Economics, The University of Queensland.

       
Attached Files (Some files may be inaccessible until you login with your UQ eSpace credentials)
Name Description MIMEType Size Downloads
THE15503.pdf Full text Click to show the corresponding preview/stream application/pdf 53.76MB 3
Author Philip, Pradeep.
Thesis Title Credible disinflation : an incredible prospect? Australia in the 1980s : a case study
School, Centre or Institute School of Economics
Institution The University of Queensland
Publication date 1991
Thesis type Honours Thesis
Supervisor Professor Foster
Total pages 166
Language eng
Subjects 14 Economics
Formatted abstract

The object of this thesis is to consider whether, over the period of the 1980s, government inflation credibility had improved. This analysis is carried out in as much as some comment can be made on the costs of disinflation. The notion of credibility argues that credible disinflation policies will yield quick and relatively costless disinflation. The empirical analysis suggests that credibility did improve over the period of the Hawke Government. The ACCORD and reputation augmented monetary policy are posited as the rationale for this. The evidence of high transitional costs of disinflation appear, though, to contradict the findings of the empirical work. However, this paradox' is resolved by an analysis of the aetiological nature of Australia's recent inflation experience. The finding of this study contradicts the conventionally held view that wages are the major determinant of inflation. This paper posits the asset price spiral of the late 1980s as being the major determinant of recent Australian inflation. This, it is argued, resolves the paradox.

Keyword Inflation (Finance)
Economics -- Australia -- History

Document type: Thesis
Collection: UQ Theses (non-RHD) - UQ staff and students only
 
Citation counts: Google Scholar Search Google Scholar
Access Statistics: 80 Abstract Views, 3 File Downloads  -  Detailed Statistics
Created: Tue, 04 Jan 2011, 09:49:49 EST by Ning Jing on behalf of Social Sciences and Humanities Library Service