Jönsson, Kristian - Economics Institute for Research (SIR), … - 2004
sector along the lines of Balassa-Samuelson, of time-to-build, and of habit formation in preferences. In contrast to previous … time-to-build, and of habit formation in preferences. In contrast
to previous studies, we �nd that habit formation on its …. Therefore, time-to-build has the potential of making the real exchange
rate gradually increase after trade liberalization …