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-effects estimation (FE), cannot distinguish between the short run and the long run behavior. To address the issue of short run …) estimator has gained popularity since 1999. In this paper, we estimate the bilateral trade balance model for the USA vis …
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Using a narrative account of quarterly discretionary changes in tax liabilities from 1974Q4 to 2018Q2 in a VAR setting, we study whether legislative tax changes affect the trade balance in the United States, Germany, and the United Kingdom. As legislative tax changes we consider (i) all changes,...
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with the USA, which have not been studied in such a context so far. A strong point is a broad methodology that lets compare …
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