Author(s)

Apostolis Katsinos, Theodore Mariolis

Department of Public Administration, Panteion University, Athens, Greece.

This paper uses simple dynamic input-output price models to estimate the effects of a switch to devalued drachma on the cost-inflation rate in the Greek economy. The findings suggest that the inflationary “pressures” are not too high and, therefore, there is room for trade-balance improvement.

Cost-Push Inflation; Drachma Devaluation; Dynamic Input-Output Price Models; Greek Economy; International Competitiveness

A. Katsinos and T. Mariolis, "Switch to Devalued Drachma and Cost-Push Inflation: A Simple Input-Output Approach to the Greek Case," Modern Economy, Vol. 3 No. 2, 2012, pp. 164-170. doi: 10.4236/me.2012.32023.