export (and true) real exchange rate to capital inflows in Mexico for the period 1970:1–97:4, and for the subperiods prior …

This study shows that in Mexico there is a long-run relationship between the real exchange rate and capital inflows …, the external terms of trade, and productivity in the manufacturing sector. A once-and-for-all unit increase in the ratio …

the international transmission of productivity improvements generate the observed degree of risk-sharing: one associated …

1970 to 2008 and compare three different datasets on sectoral productivity, including a newly constructed database on total … factor productivity. Overall, our DOLS estimation results do not support the BS hypothesis. For the last two decades, we find … a very robust negative relationship between the productivity in the tradable sector and the equilibrium real exchange …