This paper re-examines the ability of sticky-price models to generate volatile and persistent real exchange rates. We use a DSGE framework with pricing-to-market akin to those in Chari, et al. (2002) and Steinsson (2008) to illustrate the link between real exchange rate dynamics and what the...

This technical note is developed as a mathematical companion to the paper "The Real Exchange Rate in Sticky Price Models: Does Investment Matter?" (Institute working paper no. 17). It contains three basic calculations. First, we derive the equilibrium conditions of the model. Second, we compute...

Chapter 1. The Strategic Logic of China’s Economy -- Chapter 2. The Dynamic Strategy Theory, a Formal Statement -- Chapter 3. Industrialisation Sub-strategies: Theory and Practice -- Chapter 4. Asia’s First Industrial Giant: Japan’s Strategic Pursuit -- Chapter 5. China’s Millennial...