Evolution of the Exchange Rate Pass-Through into Prices in Peru: An Empirical Application Using TVP-VAR-SV Models

Abstract

This study examines the evolution of exchange rate pass-through (ERPT) into import, producer, and consumer prices in Peru from 1995Q2 to 2022Q4 using time-varying parameter and stochastic volatility VAR models. Findings reveal a resurgence of ERPTs into ...