This paper examines the impact of trade costs on real exchange rate volatility. We incorporate a multi … exchange rate volatility depends on relative technological differences and trade costs. These differences highlight a new … volatility. We then test the importance of this channel using a large panel of cross-country data over 1970-97, and find strong …

We study the impact of a minimum wage on business cycle volatility, depending upon its coverage and adjustment … affecting 20 percent of employees would amplify output volatility by 0.2 percent to 9.2 percent, and employment volatility by ?1 ….2 percent to 7.8 percent. A fixed wage or indexation to consumption price inflation increases volatility most. Indexation to …

Spillovers to Indonesia. …

China’s spillovers, elasticities approach, factor pricing, overcapacity, and sustainability risks. It elaborates on the …

illustrate the possibility of large spillovers from the area in times of stress. The prospect of large spillovers underscores the … could benefit the rest of the world. Spillovers from gradual monetary policy normalization appear manageable. Execution of … the structural reform agenda will carry positive spillovers …

policy spillovers. Concerns that the end of QE2 could lead to a rapid reversal of emerging market capital flows appear … overblown. A credible plan for a gradual U.S. fiscal consolidation would likely have limited short-term spillovers and …

This paper presents evidence that spillovers through bank lending, as opposed to trade linkages and country … characteristics, can help explain contagion. We construct a measure of competition for bank funds and find evidence in favor of a …