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A new approach to inflation through the joint analysis of economics efficiency and social welfare a case study: Argentina

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  • DAGUM, CAMILO
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    Abstract

    This paper points out the main e1ements under analysis in a study aimed at bringing out the relevant causes of inflation in each kind of economic structure. Thus, it stresses the necessity of a direct answer to questions like when, where, why and how an inflationary process is generated as well as its economic, political and social consequences. Further, it points out the necessity of analyzing the nature of inflation and its circumstances rather than contrasting structuralism vs. monetarism. Thus it seeks to specify the causes of inflation, their direction, intensity and interaction in a given type of economic and social structure. With that aim the ideas of economic efficiency and social welfare are introduced and applied to an interpretation of the Argentine case during the last hundred years. These ideas, together with the notion of structural permanence, will play a basic role in the current research by the author at the Econometric Research Program. This research aims to set up an econometric analysis of inflation and a related decision-making model for stability and development in developing economies with inflation. El artículo destaca los principales elementos a tener en cuenta cuando se desea localizar las causas relevantes de la inflación según cuál sea la estructura económica subyacente. De esta manera, hace hincapié en la necesidad de una respuesta precisa a preguntas como cuándo, dónde y por qué y cómo se genera un proceso inflacionario, así como en sus consecuencias económicas, políticas y sociales. Además, el trabajo destaca la necesidad de analizar la naturaleza de la inflación y sus circunstancias, más que de contrastar estructuralismo frente a monetarismo. En definitiva, pretende especificar las causas de la inflación, su dirección, intensidad, interacción para una estructura económica y social concreta.

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    Bibliographic Info

    Article provided by Estudios de Economía Aplicada in its journal Estudios de Economía Aplicada.

    Volume (Year): 26 (2008)
    Issue (Month): (Julio)
    Pages: 7-22

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    Handle: RePEc:lrk:eeaart:26_3_11

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