The Dynamic Relationship between the Dollar and Components of U.S. Trade

Paul D Koch and Jeffrey A Rosensweig

Journal of Business & Economic Statistics, 1990, vol. 8, issue 3, 355-64

Abstract: The dynamic response of the nominal trade account to changes in the value of the U.S. dollar has been posited to follow a J-curve pattern. Recent experience calls this into question. The aggregate nominal trade balance is decomposed here into four components, both prices and volumes of imports and exports. Time series specification tests and Granger tests of causal priority are employed to identify the existence and nature of the response of each individual component to dollar movements. Surprisingly weak and delayed responses of both import prices and volumes are found, suggesting a new view of trade-balance evolution.

Date: 1990
References: Add references at CitEc
Citations: View citations in EconPapers (2)

There are no downloads for this item, see the EconPapers FAQ for hints about obtaining it.

Related works:
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: https://EconPapers.repec.org/RePEc:bes:jnlbes:v:8:y:1990:i:3:p:355-64

Ordering information: This journal article can be ordered from
http://www.amstat.org/publications/index.html

Access Statistics for this article

Journal of Business & Economic Statistics is currently edited by Jonathan H. Wright and Keisuke Hirano

More articles in Journal of Business & Economic Statistics from American Statistical Association
Bibliographic data for series maintained by Christopher F. Baum ().