Fixed or Flexible Exchange Rates? History and Perspectives

Provides a detailed analysis of the economic implications of economy pricing, examining how micro- and macroeconomic events are connected in a globalized system. Discusses pricing strategies in economy pricing, as well as competition, mass production, and economies of scale. Explores the theory of the firm in economy pricing, including the concept of production and costs. Explains how pricing works in a competitive market and how the pricing strategy is influenced by factors that may be beyond the firm’s control. Describes how inflation, interest rates, and unemployment rates work at the macro level in an economy pricing system dominated by competition and characterized by different categories of non-premium products in almost all sectors of the economy. Considers how monetary policy works when inflation, interest rates, and unemployment rates are kept low in an economy pricing system characterized by a high level of competition between firms in different sectors. Covers public debt and fiscal policy, including aggregate demand and curve supply.

[Book's annotation appearing in the 'Journal of Economic Literature' (Volume 61, no. 4), December 2023, and in the American Economic Association's electronic publications: 'e-JEL', 'JEL' on CD, and EconLit]