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Structural Sources and Characteristics of the Inflation in Bulgaria (1992-2010)

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  • Stela Raleva
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    Abstract

    The paper analyzes the structural sources and characteristics of the inflation process in Bulgaria in different sections of the economy and of the consumer price index (CPI). It studies the behavior of the wage, the average labour productivity, as well as the existing between them dependencies by economic sectors, economic activities and some of their groups. It interprets the dynamics of these indicators in the sectors of tradable and non-tradable goods, and traces the changes in the relative prices of the non-tradable goods. It comments the changes in the relative prices of the goods with competitive and administrated prices, and of aggregated groups of goods and services in the CPI structure. The paper draws the connection of the analyzed indicators and the correspondences with the dynamics of the general price level. It evaluates the empirical validity in the Bulgarian conditions of base assumptions and conclusions of some of the fundamental structural inflation models.

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    Bibliographic Info

    Article provided by Bulgarian Academy of Sciences - Economic Research Institute in its journal Economic Studies.

    Volume (Year): (2013)
    Issue (Month): 1 ()
    Pages: 41-71

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    Handle: RePEc:bas:econst:y:2013:i:1:p:41-71

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    1. Jose De Gregorio & Alberto Giovannini & Holger C. Wolf, 1993. "International Evidence on Tradables and Nontradables Inflation," Working Papers 93-17, New York University, Leonard N. Stern School of Business, Department of Economics.
    2. Gordon, Robert J, 1990. "What Is New-Keynesian Economics?," Journal of Economic Literature, American Economic Association, vol. 28(3), pages 1115-71, September.
    3. Gordon, Robert J, 1981. "Output Fluctuations and Gradual Price Adjustment," Journal of Economic Literature, American Economic Association, vol. 19(2), pages 493-530, June.
    4. John H. Rogers, 2001. "Price level convergence, relative prices, and inflation in Europe," International Finance Discussion Papers 699, Board of Governors of the Federal Reserve System (U.S.).
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