A limited number of studies have tested the J-Curve phenomenon using bilateral trade data between the United States and its major trading partners. In this paper, we test the J-Curve hypothesis by using quarterly bilateral data over the 1973–98 period between Japan and its nine major trading...

Kuznets' inverted-U hypothesis implies that economic growth worsens income inequality first and improves it later at a higher stage of economic development. In addition to economic growth, other factors such as population growth, resource endowment, price instability, openness, currency...

Few studies in the literature have argued that inflationary effects of devaluation redistribute income from workers to producers. By using cross-sectional data from 24 countries, this paper provides an empirical support for the theoretical arguements that indeed, devaluations have unequalizing...

In this note we employ two procedures to determine whether the adjustment of international reserves is in real or nominal terms. Using panel data from 17 DCs and 16 LDCs, we show that adjustment of actual reserves to their desired level is indeed in nominal terms.

Elasticity approach to balance of payments postulates that a country can enjoy an improvement in its trade balance in the long run if sum of import and export demand price elasticities exceed unity, a condition known as the Marshall-Lerner condition. Previous research tested this condition...

Orcutt hypothesized that trade flows respond faster to a change in the nominal exchange rate as compared to a change in relative prices. Although he recommended testing his hypothesis at commodity level, due to lack of commodity prices previous studies used aggregate trade flows of one country...

In recent years, the effects of exchange-rate risk on trade flows have been studied for numerous cases, with studies focusing on disaggregated, industry-level exports and imports for a pair of countries’ import and export volumes. This study examines the specific case of Egypt’s trade with...

The literature on income inequality includes many studies that have tried to identify factors such as level of economic development, rate of economic growth, population growth, resource endowment, price instability, and openness as main determinant of income inequality. In this paper, we show...