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Discussion of David Cook and Nikhil Patel’s paper

Jian Wang ()

A chapter in The price, real and financial effects of exchange rates, 2018, vol. 96, pp 122-125 from Bank for International Settlements

Abstract: This paper proposes a theoretical model that incorporates three important features in international trade. First, most international trade is priced in a few key vehicle currencies. Second, intermediate goods account for much of the growth in international trade. Third, countries within a region trade more extensively than countries in different regions.

Date: 2018
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