Monetary Transmission in an Open Economy: The Differential Impact on Exporting and Non-Exporting Firms

Hedva Ber (), Asher Blass () and Oved Yosha
Additional contact information
Hedva Ber: Bank of Israel
Oved Yosha: Tel Aviv University

No 2001.01, Bank of Israel Working Papers from Bank of Israel

Abstract: Using firm-level data from the 1990s for publicly traded manufacturing companies in Israel, a liberalized and open economy, we find that monetary policy affects real investment and that the effect operates differentially on the firms in our sample - the greater its export intensity, the less a firm is affected by tight money. We examine several interpretations and conclude that the evidence indicates that the impact is transmitted primarily through the balance sheets of firms whose access to foreign currency funding is relatively constrained.

Pages: 43 pages
Date: 2001-04
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (7)

Downloads: (external link)
https://boiwebrepec.azurefd.net/RePEc/boi/wpaper/WP_2001.01.pdf First version, 2001 (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:boi:wpaper:2001.01

Access Statistics for this paper

More papers in Bank of Israel Working Papers from Bank of Israel Contact information at EDIRC.
Bibliographic data for series maintained by Yossi Yakhin ().