Exchange Rate Volatility and Trade Flows--Some New Evidence - read free eBook in online reader or directly download on the web page. Select files or add your book in reader. Download and read online ebook Exchange Rate Volatility and Trade Flows--Some New Evidence write by International Monetary Fund. This book was released on 2004-05-19. Exchange Rate Volatility and Trade Flows--Some New Evidence available in PDF, EPUB and Kindle. NULL
Dominant Currency Paradigm: A New Model for Small Open Economies
Dominant Currency Paradigm: A New Model for Small Open Economies - read free eBook in online reader or directly download on the web page. Select files or add your book in reader. Download and read online ebook Dominant Currency Paradigm: A New Model for Small Open Economies write by Camila Casas. This book was released on 2017-11-22. Dominant Currency Paradigm: A New Model for Small Open Economies available in PDF, EPUB and Kindle. Most trade is invoiced in very few currencies. Despite this, the Mundell-Fleming benchmark and its variants focus on pricing in the producer’s currency or in local currency. We model instead a ‘dominant currency paradigm’ for small open economies characterized by three features: pricing in a dominant currency; pricing complementarities, and imported input use in production. Under this paradigm: (a) the terms-of-trade is stable; (b) dominant currency exchange rate pass-through into export and import prices is high regardless of destination or origin of goods; (c) exchange rate pass-through of non-dominant currencies is small; (d) expenditure switching occurs mostly via imports, driven by the dollar exchange rate while exports respond weakly, if at all; (e) strengthening of the dominant currency relative to non-dominant ones can negatively impact global trade; (f) optimal monetary policy targets deviations from the law of one price arising from dominant currency fluctuations, in addition to the inflation and output gap. Using data from Colombia we document strong support for the dominant currency paradigm.
Macroeconomic Linkage
Macroeconomic Linkage - read free eBook in online reader or directly download on the web page. Select files or add your book in reader. Download and read online ebook Macroeconomic Linkage write by Takatoshi Ito. This book was released on 2009-02-15. Macroeconomic Linkage available in PDF, EPUB and Kindle. This volume explores East Asia's macroeconomic experience in the 1980s and the economic impact of East Asia's growth on the rest of the world. The authors explore the causes of capital flows, changes in trade balances, and exchange rate fluctuations in East Asia and their effects on other countries. These fourteen papers are organized around four themes: the overall determinants of growth and trading relations in the East Asian region; monetary policies in relation to capital controls and capital accounts; the impact of exchange rate behavior on industrial structure; and the potential for greater regional integration. The contributors examine interactions among exchange rate movements, trade balances, and capital flows; how government monetary policy affects capital flows; the effect of exchange rates on industrial structure, inventories, and prices; and the extent of regional integration in East Asia.
Changing Patterns of Global Trade
Changing Patterns of Global Trade - read free eBook in online reader or directly download on the web page. Select files or add your book in reader. Download and read online ebook Changing Patterns of Global Trade write by Nagwa Riad. This book was released on 2012-01-15. Changing Patterns of Global Trade available in PDF, EPUB and Kindle. Changing Patterns of Global Trade outlines the factors underlying important shifts in global trade that have occurred in recent decades. The emergence of global supply chains and their increasing role in trade patterns allowed emerging market economies to boost their inputs in high-technology exports and is associated with increased trade interconnectedness.The analysis points to one important trend taking place over the last decade: the emergence of China as a major systemically important trading hub, reflecting not only the size of trade but also the increase in number of its significant trading partners.
IMF Staff papers
IMF Staff papers - read free eBook in online reader or directly download on the web page. Select files or add your book in reader. Download and read online ebook IMF Staff papers write by International Monetary Fund. Research Dept.. This book was released on 1988-01-01. IMF Staff papers available in PDF, EPUB and Kindle. A central proposition regarding effects of different mechanisms of fi-nancing public expenditures is that, under specific circumstances, it makes no difference to the level of aggregate demand if the government finances its outlays by debt or taxation. This so-called Ricardian equivalence states that, for a given expenditure path, substitution of debt for taxes does not affect private sector wealth and consumption. This paper provides a model illustrating the implications of Ricardian equivalence, surveys the litera-ture, considers effects of relaxing the basic assumptions, provides a frame-work to study implications of various extensions, and critically reviews recent empirical work on Ricardian equivalence.
