External Wealth, the Trade Balance, and the Real Exchange Rate /

This paper examines the link between the net foreign asset position, the trade balance and the real exchange rate. In particular, it decomposes the impact of a country's net foreign asset position ("external wealth") on its long-run real exchange rate into two mechanisms: the relation...

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প্রধান লেখক: Lane, Philip
অন্যান্য লেখক: Milesi-Ferretti, Gian
বিন্যাস: পত্রিকা
ভাষা:English
প্রকাশিত: Washington, D.C. : International Monetary Fund, 2002.
মালা:IMF Working Papers; Working Paper ; No. 2002/051
অনলাইন ব্যবহার করুন:Full text available on IMF
বিবরন
সংক্ষিপ্ত:This paper examines the link between the net foreign asset position, the trade balance and the real exchange rate. In particular, it decomposes the impact of a country's net foreign asset position ("external wealth") on its long-run real exchange rate into two mechanisms: the relation between external wealth and the trade balance; and, holding other determinants fixed, a relation between the trade balance and the real exchange rate. It also provides additional evidence that the relative price of nontradables is an important channel linking the trade balance and the real exchange rate.
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দৈহিক বর্ননা:1 online resource (35 pages)
বিন্যাস:Mode of access: Internet
আইএসএসএন:1018-5941
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