That’s the title of a new volume released today, edited by Jongrim Ha, M. Ayhan Kose, and Franziska Ohnsorge.
Figure 3.1.B from Ha, Kose, Ohnsorge.
Emerging market and developing economies, like advanced economies, have experienced a remarkable decline in inflation over the past half-century. Yet, research into this development has focused almost exclusively on advanced economies. Inflation in Emerging and Developing Economies (PDF, 23 MB) fills that gap, providing the first comprehensive and systematic analysis of inflation in emerging market and developing economies. It examines how inflation has evolved and become synchronized among economies; what drives inflation globally and domestically; where inflation expectations have become better-anchored; and how exchange rate fluctuations can pass through to inflation. To reach its conclusions, this book employs cutting edge empirical approaches. It also offers a rich dataset of multiple measures of inflation for a virtually global sample of countries over a half-century to spur further research into this important topic.
This is a monumental work, incorporating pathbreaking data collection, a comprehensive survey of the literature, all viewed through the lens of new empirical methods. This is a much-needed compilation of the research on inflation dynamics and broader economic effects, with special reference to emerging market and low-income country experiences that have heretofore been largely neglected. This will be the reference on the phenomenon of inflation for years to come.
More information, including data (to come), here.
“Emerging market and developing economies, like advanced economies, have experienced a remarkable decline in inflation over the past half-century. Yet, research into this development has focused almost exclusively on advanced economies.”
Back in the bad old days, advanced economies tend to have high inflation rates with some nations having higher inflation rates than others. Today, inflation rates across the advanced nations hover around 2%. It is interesting that emerging market and developing nations have gone through similar transformations even if a few nations still have high inflation rates. This looks like an interesting piece of research!
except for isolated cases, it seems more robust control of inflation over the past century has occurred with the maturation of strong central banks around the world? in addition, it seems as central banks weakened their linkage to gold, they have created more monetary stability. this seems true in both advanced and emerging nations?
Thanks for sharing/providing this to readers Menzie. To have this amount of knowledge and pretty high quality is quite the gift. I hope I’m not going over the bounds of propriety by paraphrasing a famous King when I say “Our cup runneth over”.