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Expectations and the price equation: Some estimates for the UK (1980)

Holden, K. ; Peel, D. A.

Springer

Empirical economics 5 (1980), S. 31-37

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ISSN: 1435-8921

Source: Springer Online Journal Archives 1860-2000

Topics: Economics

Notes: Summary Previous studies of the price equation have generally used past values of variables to proxy expectations. In this note expected wage change, import price change and output change are formulated in both an extrapolative and unbiased manner. Empirical evidence on the efficacy of various alternative specifications is presented for the UK for 1961–1978 and the rational approach is found to work well.

Type of Medium: Electronic Resource

URL: http://dx.doi.org/10.1007/BF01848041

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