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The cost of adjustment: On comovement between the trade balance and the terms of trade

Dmitriev, Alexandre; Roberts, Ivan


The S-shaped cross-correlation function between the trade balance and the terms of trade has been documented for several countries and time frames. The ability of two-country, two-good business cycle models to reproduce this regularity hinges on the dynam

CollectionsANU Research Publications
Date published: 2013
Type: Journal article
Source: Economic Modelling
DOI: 10.1016/j.econmod.2013.08.027


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