Monetary reform, general indexation and the stabilization plan

Fernando J. Cardim de Carvalho ()

Brazilian Journal of Political Economy, 1994, vol. 14, issue 2, 282-287

Abstract: The FHC Stabilization Plan consists of three stages, one of which is a monetaryreform where a new money-of-account is initially created as the basis for a new moneyproper to be issued later to replace the cruzeiro real. The paper explores the differencesbetween indexation and monetary reform in the light of the distributive inconsistenciesgenerated by a high inflation regime. It is shown that the possibility of explosive solutionsto the coordination problem during the transition for new money is much increased by therules proposed by the government. JEL Classification: E31.

Keywords: Stabilization; inflation; Real Plan (search for similar items in EconPapers)
Date: 1994
References: Add references at CitEc
Citations:

Downloads: (external link)
https://centrodeeconomiapolitica.org.br/repojs/ind ... ticle/view/1285/1270 (application/pdf)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:ekm:repojs:v:14:y:1994:i:2:p:282-287:id:1285

Access Statistics for this article

More articles in Brazilian Journal of Political Economy from Center of Political Economy
Bibliographic data for series maintained by Brazilian Journal of Political Economy (Brazil) ().