Policy insights

Policy Insights

Policy Insight 20: Structural Inflation and Real Exchange Rate Appreciation in Visegrad-4 Countries: Balassa-Samuelson or Something Else?

The authors of Policy Insight No.20 summarize the arguments for a weak Balassa-Samuelson effect and suggest that the strong real exchange rate appreciation in Visegrad-4 countries is likely not a sign of cyclical overheating, but a structural phenomenon of a different kind not predicted by conventional economic convergence theory.

Publication file

PDF document / 222.57 KB


Podpiera, J and B Égert (eds)