Adopción de esquemas de metas de inflación y el traspaso de tipo de cambio: evidencia para República Dominicana

This paper estimates the incidence of exchange rate depreciation on import prices and the general price level. Specifically, we use a number of econometric techniques to estimate the exchange rate pass-through and how the pass-through coefficient has been affected since the adoption of the inflation targeting framework in 2012. Our results show that there is evidence that the inflation targeting framework has contributed to reduce the short- and long-term effect of the exchange rate pass-through into prices in the Dominican economy and the magnitude of the reduction in the coefficient is substantial.