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Relative prices and expenditure switching effect

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  • Shikuan Chen
  • Ming-Jen Chang

Abstract

This study examines the impact of a monetary shock on a two-country, asymmetrical size general equilibrium model. It is assumed that prices are sticky in the producer's currency, and find that the expenditure switching effect is not significant.

Suggested Citation

  • Shikuan Chen & Ming-Jen Chang, 2006. "Relative prices and expenditure switching effect," Applied Economics, Taylor & Francis Journals, vol. 38(17), pages 2069-2073.
    • Handle: RePEc:taf:applec:v:38:y:2006:i:17:p:2069-2073
    DOI: 10.1080/00036840600895707
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    References listed on IDEAS

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