{
  "title": "Capital Mobility and the Output-Inflation Tradeoff",
  "publication": "IMF Working Papers, May 1, 2000",
  "sourceUrl": "https://www.imf.org/en/publications/wp/issues/2016/12/30/capital-mobility-and-the-output-inflation-tradeoff-3565",
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  "summary": "Identifying determinants of the output-inflation tradeoff has long been a key issue in business cycle research. We provide evidence that in countries with greater restrictions on capital mobility, a given reduction in the inflation rate is associated with a smaller loss in output.",
  "sections": [
    {
      "heading": "Summary",
      "content": "- Paper title: \"Capital Mobility and the Output-Inflation Tradeoff\"\n- Authors: Assaf Razin, Prakash Loungani, Chi-Wa Yuen\n- Date: May 1, 2000\n- Series: Working Paper No. 2000/087\n- Issue: 087\n- Volume: 2000\n- Pages: 22\n- DOI: https://doi.org/10.5089/9781451851014.001\n- ISBN: 9781451851014\n- ISSN: 1018-5941\n- Core finding: In countries with greater restrictions on capital mobility, a given reduction in the inflation rate is associated with a smaller loss in output."
    },
    {
      "heading": "Major findings and theoretical framing",
      "content": "- Empirical finding:\n  - Greater restrictions on capital mobility are associated with a smaller output loss for a given reduction in the inflation rate.\n- Theoretical consistency:\n  - The result is shown to be consistent with theoretical presumption from a version of the Mundell-Fleming model.\n- Measurement and data sources:\n  - Restrictions on capital mobility are measured using the IMF’s Annual Report on Exchange Rate Arrangements and Exchange Restrictions.\n  - Estimates of the output-inflation tradeoff are taken from previous studies: Lucas (1973) and Ball, Mankiw and Romer (1988)."
    },
    {
      "heading": "Subject areas and keywords",
      "content": "- Subject: Balance of payments, Capital controls, Economic theory, Foreign exchange, Inflation, International trade, Neoclassical theory, Prices, Real exchange rates, Trade balance\n- Keywords: Africa, aggregate demand elasticity, capital controls, capital immobility, capital mobility, immobility case, Inflation, mobility regime, Neoclassical theory, openness, Output-inflation tradeoff, Phillips curve, price level, Real exchange rates, Trade balance, WP\n\n---\n\n Content in this bundle\n\n- Capital Mobility and the Output-Inflation Tradeoff - WP/00/87\n  - Capital Mobility and the Output-Inflation Tradeoff - WP/00/87 (Markdown version){rel=\"alternate\" type=\"text/markdown\"}\n  - Capital Mobility and the Output-Inflation Tradeoff - WP/00/87 (PDF){rel=\"external\" type=\"application/pdf\"}\n\n---\n\nSource: https://www.imf.org/en/publications/wp/issues/2016/12/30/capital-mobility-and-the-output-inflation-tradeoff-3565"
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    "Authors: Assaf Razin, Prakash Loungani, Chi-Wa Yuen",
    "Published: May 1, 2000",
    "Series: IMF Working Papers",
    "DOI: https://doi.org/10.5089/9781451851014.001",
    "Paper title: \"Capital Mobility and the Output-Inflation Tradeoff\"",
    "Authors: Assaf Razin, Prakash Loungani, Chi-Wa Yuen",
    "Date: May 1, 2000",
    "Series: Working Paper No. 2000/087",
    "Issue: 087",
    "Volume: 2000",
    "Pages: 22",
    "DOI: https://doi.org/10.5089/9781451851014.001",
    "ISBN: 9781451851014",
    "ISSN: 1018-5941",
    "Core finding: In countries with greater restrictions on capital mobility, a given reduction in the inflation rate is associated with a smaller loss in output.",
    "Empirical finding:",
    "Theoretical consistency:",
    "Measurement and data sources:",
    "Subject: Balance of payments, Capital controls, Economic theory, Foreign exchange, Inflation, International trade, Neoclassical theory, Prices, Real exchange rates, Trade balance",
    "Keywords: Africa, aggregate demand elasticity, capital controls, capital immobility, capital mobility, immobility case, Inflation, mobility regime, Neoclassical theory, openness, Output-inflation tradeoff, Phillips curve, price level, Real exchange rates, Trade balance, WP",
    "**Capital Mobility and the Output-Inflation Tradeoff - WP/00/87**"
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