TY - JOUR AU - Landau, Elena PY - 1991/10/01 Y2 - 2024/03/28 TI - Mexican stabilization plan: 1982-1989 JF - Brazilian Journal of Political Economy JA - BJPE VL - 11 IS - 4 SE - DO - 10.1590/0101-31571991-0879 UR - https://centrodeeconomiapolitica.org.br/repojs/index.php/journal/article/view/1478 SP - 477-499 AB - <p>The paper analyses economic policy measures related to the 1982-89 Mexican<br />stabilization plan. It shows that the first phase was predominantly orthodox. In a second step,<br />a deindexation policy was followed, which kept prices and wages virtually constant during<br />approximately two years. The results so far have been significant reduction of inflation<br />rates, the main cost being a loss of foreign exchange reserves and a substantial decrease of<br />real wages. The Mexican stabilization experiment is usually presented as a successful case<br />of adjustment to the external sector crisis and inflation reduction. A decisive test of the<br />program, however, will take place when prices and wages were liberalized.</p><p><strong>JEL Classification:</strong> E31.</p> ER -