Showing papers by "World Institute for Development Economics Research published in 1993"

Determinants of inflation in oil-exporting developing countries: an empirical investigation 1970–1990

Abstract: Hagen's analytical framework is modified to explain the unique characteristics of inflation in oil-rich Gulf countries. The inflationary pressure of imported inflation is reduced significantly by maintaining huge government subsidies. Although these instruments succeeded in the past two decades to keep inflation at the world's lowest rate, it is not likely that fiscal policy alone will curb inflation in the long run. The empirical evidence and the recent introduction of debt financing instruments reflect the growing importnance of monetary policy and in particular its lag effect on inflation. Its stimulative response remains second to imported inflation.

An analysis of unreported sales of wheat in sudan

Abstract: As a typical LDC, the government of Sudan has explored several policy instruments to secure an adequate wheat supply to meet the increasing wheat demand in the country. Farmers are asked to deliver part of their domestic production at a procurement price less than that of the free market price. Consequently, farmers under-report their production and sell it to the free market at the risk of being caught cheating. A postulated model describing farmers' decisions on wheat production and the proportion sold illegally to the free market is examined using 1956-86 data. The analysis supports other findings that Sudanese government policies have discouraged production and, indeed, failed to achieve their designated goals. Copyright 1993 by Blackwell Publishers Ltd/University of Adelaide and Flinders University of South Australia