The Effect of Exchange Rate Changes on Japanese Consumption Exports

Willem Thorbecke () and Atsuyuki Kato

No 298, ADBI Working Papers from Asian Development Bank Institute

Abstract: This paper investigates how exchange rates affect Japanese exports. This is difficult because many of Japan’s exports are used to produce goods for re-export. An appreciation in the importing country that decreases exports can decrease its imported inputs from Japan. To correct for this bias the authors examine consumption exports. Using a panel dataset of Japan’s consumption exports to 17 countries over the 1988–2009 period, they found that a 10% appreciation of the yen would reduce Japan’s consumption goods exports by 9%. These results indicate that the large swings in the value of the yen over the last decade have caused large swings in the volume of Japanese exports.

Keywords: exchange rate elasticities; japanese consumption exports (search for similar items in EconPapers)
JEL-codes: F30 F32 (search for similar items in EconPapers)
New Economics Papers: this item is included in nep-int, nep-opm and nep-sea
Date: 2011-07-26
References: View references in EconPapers View complete reference list from CitEc
Citations Track citations by RSS feed

Downloads: (external link)
http://www.adbi.org/files/2011.07.26.wp298.effect. ... es.japan.exports.pdf Full text (application/pdf)

Related works:
Working Paper: The Effect of Exchange Rate Changes on Japanese Consumption Exports (2011)
Working Paper: The Effect of Exchange Rate Changes on Japanese Consumption Exports (2011)
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: http://EconPapers.repec.org/RePEc:ris:adbiwp:0298

Access Statistics for this paper

More papers in ADBI Working Papers from Asian Development Bank Institute
Contact information at EDIRC.
Series data maintained by Robert Hugh Davis ().