Growth effects of inflation under the presence of informality

dc.contributor	Graduate Program in Economics.
dc.contributor.advisor	Elgin, Ceyhun.
dc.contributor.author	Asfuroğlu, Dila.
dc.date.accessioned	2023-03-16T12:00:48Z
dc.date.available	2023-03-16T12:00:48Z
dc.date.issued	2013.
dc.identifier.other	EC 2013 A84
dc.identifier.uri	http://digitalarchive.boun.edu.tr/handle/123456789/16438
dc.description.abstract	In this paper we study the interrelationship between growth, size of the informal economy and inflation. We build an endogenous growth model in which the informal economy is subject to a cash-in-advance constraint along with physical capital and consumption. In this setting, we find that inflation adversely affects long-term growth. However; this effect strongly interacts with informality. Specifically, it becomes milder (and can even be positive) in the presence of a large informal economy. Moreover, using an annual cross-country panel data set of 161 countries over the period 1950 – 2009, we also provide strong empirical support for the mechanism of our theory.
dc.format.extent	30 cm.
dc.publisher	Thesis (M.A.) - Bogazici University. Institute for Graduate Studies in the Social Sciences, 2013.
dc.subject.lcsh	Informal sector (Economics)
dc.subject.lcsh	Economic development.
dc.subject.lcsh	Inflation (Finance)
dc.title	Growth effects of inflation under the presence of informality
dc.format.pages	vi, 32 leaves ;