## From Inflation to Growth: Eight Years of Transition

_IMF Working Papers, July 1, 1998_

## Source details

**Canonical URL:** [From Inflation to Growth: Eight Years of Transition](https://www.imf.org/en/publications/wp/issues/2016/12/30/from-inflation-to-growth-eight-years-of-transition-2675)

## Other formats

- [Markdown version](/en/publications/wp/issues/2016/12/30/from-inflation-to-growth-eight-years-of-transition-2675/index.md)
- [Structured JSON version](/en/publications/wp/issues/2016/12/30/from-inflation-to-growth-eight-years-of-transition-2675/index.json)
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## Bibliographic details
- Authors: Peter Doyle, Peter F. Christoffersen
- Published: July 1, 1998
- Series: IMF Working Papers
- DOI: https://doi.org/10.5089/9781451852370.001

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### Summary
- Reexamines growth in transition using panel data to 1997.
- Main conclusions:
  - Output has been strongly affected by export market growth.
  - Inflation has been associated with weaker output only above a threshold inflation rate.
  - Structural reform has been associated with weaker output initially, but stimulates higher growth thereafter.
  - Rapid disinflation has been associated with output losses only in the presence of pegged exchange rates.

### Key findings and empirical relationships
- Export market growth:
  - Output is strongly affected by export market growth.
- Inflation and output:
  - Inflation is associated with weaker output only above a threshold inflation rate.
- Structural reform and growth:
  - Structural reform is associated with weaker output initially, but stimulates higher growth thereafter.
- Disinflation and exchange rate regime:
  - Rapid disinflation is associated with output losses only when exchange rates are pegged.

### Subjects and keywords
- Subjects: Disinflation, Export performance, Exports, Inflation, International trade, Macrostructural analysis, Prices, Structural reforms
- Keywords: Baltics, disinflation, disinflation dummy, disinflation episode, exchange rate, export, export market growth, Export performance, Exports, growth, inflation, inflation-output threshold, output, output loss, rate of inflation, sacrifice ratio, standard error, Structural reforms, Transition, WP

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## Content in this bundle

- **From Inflation to Growth: Eight Years of Transition - WP/98/100**
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_Source: https://www.imf.org/en/publications/wp/issues/2016/12/30/from-inflation-to-growth-eight-years-of-transition-2675_