A test for strong hysteresis in international trade
The article suggests a new test for strong hysteresis in international trade. The variables that capture the effects of hysteresis are based on the model of Dixit (1989) with calibrations using a state-space model to determine the parameters for each point in time. These variables are then applied to a cointegration test with breaks, where it is possible to verify whether the hysteresis effect is essential in determining the long-term equilibrium.
Year of publication: |
2009-08-26
|
---|---|
Authors: | Kuhl Teles, Vladimir ; Denadai, Ricardo |
Institutions: | Escola de Economia de São Paulo (EESP), Fundação Getulio Vargas (FGV) |
Saved in:
freely available
Saved in favorites
Similar items by person
-
Infrastructure and productivity in Latin America: is there a relationship in the long run?
Mussolini, Caio Cesar, (2010)
-
A política monetária brasileira sob o regime de metas de inflação
Colla, Ernesto, (2010)
-
Environmental protection and economic growth
Kuhl Teles, Vladimir, (2009)
- More ...