Yock Y. Chong and David F. Hendry (1986) propose the concept of forecast encompassing--the lack of additional information in another model's forecasts. The corresponding test statistic is based on the regression of one model's forecast errors on the other model's forecasts. This paper...

This paper estimates income and price elasticities for bilateral world trade. In addition to testing the properties of the error terms, the dynamic specification, and the assumption of parameter constancy, the analysis presents the first application of the Bank Spectrum estimator to bilateral...

That the U.S. trade account will improve in response to a depreciation is not generally in doubt; the key questions are by how much and by when. Addressing these questions involves studying the distribution of trade-account responses to a depreciation. Given a depreciation of the dollar, the...

Income and price elasticities for non-oil exports of non-OPEC developing countries play an imp ortant role in the development of policy responses to the debt crisis. These elasticities are estimated for the major Standard Internation al Trade Classification commodity groups. Based on two-stage...