This paper tests the stability of the exchange market pressure model in the case of Korea under a managed floating exchange rate. Using the cusum of squares test, we show that the structural stability was broken in about mid-1986. This is plausible given that there was a sudden surplus in the...

The Korean economy has witnessed significant expansion of Foreign Direct Investment (FDI) inflows and decrease in labour unionization ratio. This article analyses their effect on income inequality during 1982--2008. The small sample cointegration test and the error correction model confirm the...

This article examines the causality among economic growth, export expansion and export composition in China since economic reform. The cointegration tests show that cointegrating vectors do not exist either between economic growth and export composition or between export expansion and export...