Showing 1 - 10 of 681
This paper presents numerical simulation results that suggest that China can both reduce its trade imbalance and … switching is thus a possibility for China to receive a double benefit, rebalancing trade with a welfare gain. This has … countries with a trade surplus, such as China, an origin basis offers a lower tax rate on an equal yield basis and reduced …
Persistent link: https://www.econbiz.de/10012461971
Given the rapidly growing reserves in Asia (China, Japan, Korea, Taiwan) and the pressures from trading partners to …, and that changes in trade flows can be substantial. Different treatments of China's processing trade have small impact on … changes in China's trade flow under RMB appreciation, but significant impacts on the change in the surplus. Results are …
Persistent link: https://www.econbiz.de/10012465061
This paper has two aims. The first is to reduce the range within which the true U.S.-China bilateral trade deficit lies … revised US-China bilateral trade deficit is $15 billion to $20 billion in 1994, and $16 billion to $22 billion in 1995 … US-CHINA bilateral trade deficit in recent years reflected many factors. In our opinion, the two chief factors are (i …
Persistent link: https://www.econbiz.de/10012472213
In this paper we have constructed a theoretical model in which Asian firms maximize their profit, competing with Japanese and US firms in their markets. The duopoly model is used to determine export prices and volumes in response to the exchange rate fluctuations vis-…-vis the Japanese yen and...
Persistent link: https://www.econbiz.de/10012471508
The paper examines welfare effects and the trade balance response to changes in the world oil prices and interest rates for a small oil-importing economy. The trade balance is mainly seen as the difference between saving and investment, and these are derived from intertemporal optimization. It...
Persistent link: https://www.econbiz.de/10012478114
We study how changes in trade barriers contributed to the dynamics of the US trade balance and real exchange rate since 1980 - a period when trade tripled. Using two dynamic trade models, we decompose fluctuations in the trade balance into terms related to trade integration (global and...
Persistent link: https://www.econbiz.de/10012479517
This paper presents statistical analysis supporting stylized facts about sovereign wealth funds (SWFs). It discusses the forces leading to the growth of SWFs, including the role of fuel exports and ongoing current account surpluses, and large hoarding of international reserves. It analyzes the...
Persistent link: https://www.econbiz.de/10012464086
Are structural models getting closer to being able to forecast exchange rates at short horizons? Here we argue that misinterpretation of some new out-of-sample tests for nested models, over-reliance on asymptotic test statistics, and failure to sufficiently check robustness to alternative time...
Persistent link: https://www.econbiz.de/10012464525
The large trade and current account deficits of the United States cannot continue indefinitely because doing so would constitute a permanent gift to the U.S. economy. The process that will cause this gift to shrink and that will eventually cause it to reverse is a fall in the dollar. The dollar...
Persistent link: https://www.econbiz.de/10012464697
We develop a method for decomposing countries' observed export prices into quality versus quality-adjusted-price components using information contained in their trade balances. Holding observed export prices constant, countries with surpluses are inferred to offer higher quality than countries...
Persistent link: https://www.econbiz.de/10012464840