Accounting for the economic relationship between Japan and the Asian Tigers

Hideaki Hirata and Keisuke Otsu

Journal of the Japanese and International Economies, 2016, vol. 41, issue C, 57-68

Abstract: This paper applies the business cycle accounting method of Chari, Kehoe and McGrattan (2007) to a two-country, two-good model based on Backus, Kehoe and Kydland (1994) to investigate the economic relationship between Japan and the Asian Tigers from 1980Q1 to 2008Q2. We find that the main driver of long-run shifts and short-run fluctuations in output in each economy is domestic production efficiency. Furthermore, the recent increase in the cross-country business cycle correlation between the two can be attributed to an increase in the cross-country correlation of production efficiencies.

Keywords: International business cycles; Business cycle accounting; Productivity (search for similar items in EconPapers)
JEL-codes: E13 E32 F41 (search for similar items in EconPapers)
Date: 2016
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (2)

Downloads: (external link)
http://www.sciencedirect.com/science/article/pii/S0889158316300168
Full text for ScienceDirect subscribers only

Related works:
Working Paper: Accounting for the economic relationship between Japan and the Asian Tigers (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: https://EconPapers.repec.org/RePEc:eee:jjieco:v:41:y:2016:i:c:p:57-68

DOI: 10.1016/j.jjie.2016.06.001

Access Statistics for this article

Journal of the Japanese and International Economies is currently edited by Takeo Hoshi

More articles in Journal of the Japanese and International Economies from Elsevier
Bibliographic data for series maintained by Catherine Liu ().