Recent reforms in the Turkish electricity sector since 2001 aim to introduce a tariff system that reflects costs. This is expected to affect the production and consumer prices of electricity. The changes in electricity prices are then reflected in production costs in other segments of the economy. Subsequently, producer and consumer prices will be affected. The potential impact of the changes i...

The main purpose of this paper is to examine the relationship between consumer price index (CPI) and producer price index (PPI) in Malaysia. This research considers monthly data of consumer price index and producer price index from January 1986 to April 2007. The Johansen cointegration method suggests that there is long-run equilibrium relationship between these two variables. Both Engle Grange...

We establish five facts about prices in the U.S. economy: 1) The median implied duration of consumer prices when sales are excluded at the product level is between 8 and 11 months. The median implied duration of finished goods producer prices is 8.7 months. 2) One-third of regular price changes are price decreases. 3) The frequency of price increases responds strongly to inflation while the fre...

Bu çalışmada ÜFE ve TÜFE arasında nedensellik eşbütünleşme ilişki 2005-2021 yılları aylık veriler kullanarak Türkiye özelinde incelenmiştir. amaçla ARDL sınır testi, Granger testi Toda-Yamamoto yöntemleri kullanılmıştır. Analiz sonuçlarına göre, oldukça güçlü bir ilişkisi vardır seriler birlikte hareket etmektedir. Öyle ki, uzun dönemde ÜFE’de meydana gelen %1’lik artışın TÜFE’de yaklaşık %1.1 ...

How important is the effect of exchange rate fluctuations on the competitive environment faced by domestic firms and the prices they charge? To answer this question, this paper examines the 17% appreciation of the yuan against the US dollar from 2005 to 2008. In a monthly panel covering 110 sectors, a 1% appreciation of the Yuan increases US import prices by roughly 0.8%. It is then shown that ...

Pareto improvements that require no information about individual characteristics are analyzed. Initially, equilibrium must be production inefficient. After the policy change, consumer prices differ from producer prices, but allocations, although second-best, are Pareto superior and production efficient. Policy implementation is modeled as a dynamical system that governs aggregate consumer wealt...

Reference pricing intends to reduce pharmaceutical expenditures by increasing demand elasticity and stimulating generic competition. We develop a novel model where a brand-name producer competes in prices with several generics producers in a market with brand-biased and brand-neutral consumers. Comparing with coinsurance, we show that reference pricing, contrary to policy makers' intentions, di...

Cocoa and coffee are the most important crops in Cote d'Ivoire. Until recently, the difference between world and administered producer prices provided an important source of government revenue. As a result of a continued decline of world prices of both crops, however, the Ivoirien government was forced to cut producer prices in half. Because 40 percent of Ivoirien households grow either cocoa o...