Monetary overhang

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Monetary overhang is a phenomenon in which people have money holdings because of a lack of ability to spend them. This is a phenomenon often present with repressed inflation and was common in centrally planned economies like the Soviet Union.

The Soviet Union experienced monetary overhang from the mid-1980s onwards. This was reported by the IMF in 1991.[1] Subsequent to this report, the USSR collapsed.

References

  1. ^ Cottareli, Carlo (June 1991). "IMF Working Paper No. 91/55: Forced Savings and Repressed Inflation in the Soviet Union: Some Empirical Results". International Monetary Fund. SSRN 884851. {{cite web}}: Missing or empty |url= (help)


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