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来源类型 | Discussion paper |
规范类型 | 论文 |
来源ID | DP8838 |
DP8838 On the connection between intra-temporal and intertemporal trade | |
Shang-Jin Wei; Kang Shi; Jiandong Ju | |
发表日期 | 2012-02-01 |
出版年 | 2012 |
语种 | 英语 |
摘要 | Sticky (or slow-adjusting) current accounts are observed for many countries. This paper explores the role of domestic factor market flexibility in understanding the phenomenon. To do so, we consider multiple tradable sectors with different factor intensities and allow substitution between intertemporal trade (current account adjustment) and intra-temporal trade (goods trade) in a dynamic general equilibrium model. An economy?s response to a shock generally involves a combination of a change in the composition of goods trade and a change in the current account. Flexible factor markets reduce the need for the current account to adjust. On the other hand, the more rigid the factor markets, the larger the size of current account adjustment relative to the volume of goods trade, and the slower the speed of adjustment of the current account towards its long-run equilibrium. We present empirical evidence in support of the theory. |
主题 | International Trade and Regional Economics |
关键词 | Current account Intertemporal trade Labor market rigidity Trade balance |
URL | https://cepr.org/publications/dp8838 |
来源智库 | Centre for Economic Policy Research (United Kingdom) |
资源类型 | 智库出版物 |
条目标识符 | http://119.78.100.153/handle/2XGU8XDN/537674 |
推荐引用方式 GB/T 7714 | Shang-Jin Wei,Kang Shi,Jiandong Ju. DP8838 On the connection between intra-temporal and intertemporal trade. 2012. |
条目包含的文件 | 条目无相关文件。 |
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