An examination of international trade data in the 1980s

Michael Dotsey

Economic Review, 1989, vol. 75, issue Mar, 21-27

Abstract: This article examines three competing hypotheses and their ability to explain events in international financial markets during the 1980s. The rival hypotheses view the trade deficit as caused alternatively by large U.S. budget deficits, by tight U.S. monetary policy, or by real shocks to investment resulting from changes in the U.S. tax code. While no entirely consistent explanation emerges, the real-shock hypothesis seems to match the data best.

Keywords: International trade; Foreign exchange (search for similar items in EconPapers)
Date: 1989
References: View references in EconPapers View complete reference list from CitEc
Citations:

Downloads: (external link)
https://fraser.stlouisfed.org/files/docs/publicati ... ev_frbrich198903.pdf (application/pdf)

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:fip:fedrer:y:1989:i:mar:p:21-27:n:v.75no.2

Ordering information: This journal article can be ordered from

Access Statistics for this article

More articles in Economic Review from Federal Reserve Bank of Richmond Contact information at EDIRC.
Bibliographic data for series maintained by Christian Pascasio ().