On the international transmission of technology shocks

Journal of International Economics

Volumn 78, Issue 1, 2009, Pages 45-59

  Enders, Zeno ^a   Müller, Gernot J ^a  

^a UNIVERSITY OF BONN   (Germany)

Author keywords

Financial markets; Technology shocks; Terms of trade; Trade balance

Indexed keywords

BALANCE OF TRADE; BUSINESS CYCLE; FINANCIAL MARKET; INTERNATIONAL TRADE; MODELING; TERMS OF TRADE; TIME SERIES ANALYSIS; VECTOR AUTOREGRESSION;

NORTH AMERICA; UNITED STATES;

EID: 67349219143     PISSN: 00221996     EISSN: None     Source Type: Journal    
DOI: 10.1016/j.jinteco.2009.02.010     Document Type: Article

References (46)

1. Altig D., Christiano L.J., Eichenbaum M., and Lindé J. Firm specific capital, nominal rigidities and the business cycle. NBER Working Paper 11034 (2005)
2. Ambler S., Cardia E., and Zimmermann C. International business cycles: what are the facts?. Journal of Monetary Economics 51 (2004) 257-276
3. Backus D., and Smith G.W. Consumption and real exchange rates in dynamic economies with non-traded goods. Journal of International Economics 35 (1993) 297-316
4. Backus D., Kehoe P., and Kydland F. Dynamics of the trade balance and the terms of trade: the J-curve?. American Economic Review 84 1 (1994) 84-103
5. Backus D., Kehoe P., and Kydland F. International business cycles: theory and evidence. In: Cooley T.F. (Ed). Frontiers of Business Cycle Research (1995), Princeton University Press, Princeton 331-356
6. Baxter M. International trade and business cycles. In: Grossmann G.M., and Rogoff K. (Eds). Handbook of International Economics (1995) 1801-1864 North Holland, Amsterdam
7. Baxter M., and Crucini M.J. Business cycles and the asset structure of foreign trade. International Economic Review 36 4 (1995) 821-854
8. Benigno P. Price stability with imperfect financial integration. Journal of Money, Credit and Banking 41 s1 (2009) 121-149
9. Benigno G., and Thoenissen C. Consumption and real exchange rates with incomplete markets and non-traded goods. Journal of International Money and Finance 27 (2008) 926-948
10. Bodenstein M. Closing open economy models. FRB International Finance Discussion Paper 896 (2006)
11. Canova F., and Sala L. Back to square one: Identification issues in DSGE models. ECB Working Paper 583 (2006)
12. Chari V.V., Kehoe P.J., and McGrattan E.R. Can sticky price models generate volatile and persistent real exchange rates?. Review of Economics Studies 69 (2002) 533-563
13. Chari V.V., Kehoe P.J., and McGrattan E.R. A critique of structural VARs using business cycle theory. Federal Reserve Bank of Minneapolis, Staff Report 364 (2005)
14. Christiano L.J., Eichenbaum M., and Vigfusson R. What happens after a technology shock?. NBER Working Paper 9819 (2003)
15. Christiano L.J., Eichenbaum M., and Evans C. Nominal rigidities and the dynamic effects of a shock to monetary policy. Journal of Political Economy 113 1 (2005) 1-45
16. Christiano L.J., Eichenbaum M., and Vigfusson R. Assessing structural VARs. In: Acemoglu D., Rogoff K., and Woodford M. (Eds). NBER Macroeconomics Annual 2006 vol. 21 (2007), MIT Press, Cambridge MA
17. Cole H., and Obstfeld M. Commodity trade and international risk sharing: how much do financial markets matter?. Journal of Monetary Economics 28 (1991) 3-24
18. Cooley T.F., and Dwyer M. Business cycle analysis without much theory - a look at structural VARs. Journal of Econometrics (1998) 57-88
19. Corsetti G., Dedola L., and Leduc S. Productivity, external balance and exchange rates: evidence on the transmission mechanism among G7 countries. In: Reichlin L., and West K. (Eds). NBER International Seminar on Macroeconomics 2006 (2006)
20. Corsetti G., Dedola L., and Leduc S. International risk sharing and the transmission of productivity shocks. Review of Economic Studies 75 2 (2008) 443-473
21. Corsetti G., Dedola L., and Leduc S. High exchange-rate volatility and low pass-through. Journal of Monetary Economics 6 (2008) 1113-1128
22. Enders Z., Müller G.J., and Scholl A. How do fiscal and technology shocks affect real exchange rates? New evidence for the United States. CFS Working Paper 2008/22 (2008)
23. Fernández-Villaverde J., Rubio-Ramírez J., Sargent T.J., and Watson M.W. A, B, C's (and D's) for understanding VARs. American Economic Review 97 3 (2007) 1021-1026
24. Galí J. Technology, employment, and the business cycle: do technology shocks explain aggregate fluctuations?. American Economic Review 89 (1999) 249-271
25. Ghironi F., and Melitz M. International trade and macroeconomic dynamics with heterogeneous firms. Quarterly Journal of Economics (2005) 865-915
26. Glick R., and Rogoff K. Global versus country-specific productivity shocks and the current account. Journal of Monetary Economics (1995) 159-192
27. Gregory A.W., and Head A.C. Common and country-specific fluctuations in productivity, investment and the current account. Journal of Monetary Economics 44 (1999) 423-451
28. Heathcote J., and Perri F. Financial autarky and international business cycles. Journal of Monetary Economics 49 (2002) 601-627
29. International Monetary Fund. World Economic Outlook Database (2007). http://www.imf.org/external/pubs/ft/weo/2007/01/data/index.aspx http://www.imf.org/external/pubs/ft/weo/2007/01/data/index.aspx
30. Ireland P.N. A method for taking models to the data. Journal of Economic Dynamics and Control 28 (2004) 1205-1226
31. Kehoe P.J., and Perri F. International business cycles with endogenous incomplete markets. Econometrica 70 (2002) 709-729
32. King, R.G.: 1991, Value and capital in the equilibrium business cycle programme, in L.W. McKenzie and S. Zamagni (eds), Value and Capital Fifty Years Later, Macmillan, Houndmills, Basingstoke, Hampshire, pp. 279-309.
33. Kollmann R. US trade balance dynamics: the role of fiscal policy and productivity shocks and of financial market linkages. Journal of International Money and Finance 17 (1998) 637-669
34. Kollmann R. International portfolio equilibrium and the current account. CEPR Discussion Paper 5512 (2006)
35. Kydland F.E., and Prescott E.C. Hours and employment variation in business cycle theory. Economic Theory 1 (1991) 63-81
36. Lane P.R., and Milesi-Ferretti G.M. The external wealth of nations mark II: revised and extended estimates of foreign assets and liabilities, 1970-2004. Journal of International Economics 73 2 (2007) 223-250
37. Lubik T., and Schorfheide F. A Bayesian look at new open economy macroeconomics. In: Gertler M., and Rogoff K. (Eds). NBER Macroeconomics Annual 2005 vol. 20 (2006), MIT Press, Cambridge MA 313-366
38. Mendoza E.G. Real business cycles in a small open economy. American Economic Review 81 (1991) 797-818
39. Normandin M., and Fosso B.P. Global versus country-specific shocks and international business cycles. Cahiers de recherche 0601 (2006), CIRPEE
40. Obstfeld M., and Rogoff K. New directions for stochastic open economy models. Journal of International Economics 20 (2000) 117-153
41. OECD. Economic Outlook 82. Main Economic Indicators vol. 2007 (2007) on SourceOECD
42. Raffo A. Net exports, consumption volatility, and international real business cycle models. Journal of International Economics (2008) 14-29
43. Ravn M.O. International business cycles in theory and in practice. Journal of International Money and Finance 16 2 (1997) 255-283
44. Schmitt-Grohé S., and Uribe M. Closing small open economy models. Journal of International Economics 61 (2003) 163-185
45. Shapiro M., and Watson M. Sources of business cycle fluctuations. In: Fischer S. (Ed). NBER Macroeconomics Annual (1988), MIT Press, MA
46. Stockman A.C., and Tesar L.L. Tastes and technology in a two-country model of the business cycle: Explaining international comovements. American Economic Review 85 1 (1995) 168-185