Stationary Inflation and Pareto Efficiency with Incomplete Markets and a Large Open Economy.

Stationary Inflation and Pareto Efficiency with Incomplete Markets and a Large Open Economy.

Hoelle, M. (2018): Stationary inflation and Pareto efficiency with incomplete markets and a large open economy, Economic Theory Bulletin 6(1), 115-128.

In a large open economy with pure exchange and incomplete markets, this paper characterizes necessary conditions under which monetary policies are compatible with Pareto efficiency.

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