Inequality and Exchange Rate Movements in an Open-Economy Macroeconomic Model
Bibliographic Data
| ID | 12230454 |
|---|---|
| Authors | Emilio Carnevali (0000-0002-6551-9183, Northumbria University, Newcastle upon Tyne, UK, corresponding author), Francesco Ruggeri (0000-0002-0096-274X, Ernst & Young Italia, Rome, Italy), Marco Veronese Passarella (0000-0001-7652-5952, Link Campus University of Rome, Rome, Italy) |
| Year | 2022 |
| Volume | 36 |
| Issue | 2 |
| Pages | 722-760 |
| Publication date | 2022-06-29 |
| Peer Reviewed | Yes |
| Open Access | Yes |
| Type | ARTICLE |
| Venue | Review of Political Economy (JOURNAL) |
| Journal identifiers | ISSN: 0953-8259 • E-ISSN: 1465-3982 |
| Publisher | Taylor & Francis (PUBLISHER • GB) |
| DOI | 10.1080/09538259.2022.2062961 |
| OpenAlex | W4283687623 |
| Language | EN |
| Citations received | 1 |
| References cited | 52 |
This article presents a complete macroeconomic (SFC) model to study income and wealth distribution in an open economy. We argue that exchange rates and the stock of foreign debt play a major role in shaping inequality across and within countries. Using the ‘relative income hypothesis’, we show that debt-financed consumption of low-income households can affect both total income and the disposable income of high-income households in the medium run. In addition, while higher inequality is detrimental to the domestic economy, it can benefit trading partners
Consumption (sociology · Debt · Distribution (mathematics · Economic inequality · Economics · Exchange rate · Income distribution · Income inequality metrics · Inequality · Macroeconomic model · Macroeconomics · Monetary economics · Open economy · Small open economy · Stock (firearms · Economic theories and models · Economic Theory and Policy · Housing, Finance, and Neoliberalism
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Theory of the Consumption Function
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A Kaleckian Perspective on Financialisation and Distribution in Three Main Eurozone Countries before and after the Crisis
A New, Simple SFC Open Economy Framework
The quality effect
Consumer Interdependence via Reference Groups
Income, Saving, and the Theory of Consumer Behaviour
Emulation, Inequality, and Work Hours
Global Inequality, Wealth Concentration and the Subprime Crisis
The financialization of the American economy
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Income Distribution and Growth Models
| Unique citing works | 1 |
|---|---|
| Citations per year | 1 |
| Citation span | 2026 - 2026 (1) |
| Citation velocity | current |
| Highly cited | No |
| Citation types | Neutral: 1 |