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equations, trade is more sensitive to trade costs if the exporting country only provides a small share of the destination … country's imports. As a result, trade costs have a heterogeneous impact across country pairs, with some trade flows predicted … modest or indistinguishable from zero. -- translog ; trade costs ; gravity ; currency union ; monopolistic competition …
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In this paper we introduce the cost channel of monetary policy (e.g., Ravenna and Walsh, 2006) into an otherwise standard New Keynesian model of a two-country monetary union, which is being hit by aggregate, asymmetric and idiosyncratic shocks. The single central bank implements the optimal...
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Zusammenfassung Dieser Beitrag liefert einen Uberblick über die Bedeutung asymmetrischer makroökonomischer Strukturen in den EWU Mitgliedsländern für die einheitliche Geldpolitik. Zunächst wird im Rahmen eines Modells illustriert, welche grundsätzliche Bedeutung asymmetrischen...
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