102
Views
3
CrossRef citations to date
0
Altmetric
Original Articles

Test of the J-Curve Hypothesis Between the U.S. and Six Western European Countries and Policy Implications

&
Pages 176-185 | Received 01 Oct 2009, Accepted 01 Feb 2010, Published online: 15 Jun 2010

REFERENCES

  • Aristovnik , A. ( 2008 ). Short-term determinants of current account deficits: Evidence from Eastern Europe and the former Soviet Union . Eastern European Economics , 46 , 24 – 42 .
  • Backus , D. , Kehoe , P. , & Kydland , F. ( 1994 ). Dynamics of the trade balance and the terms of trade: The J-curve? The American Economic Review , 84 , 84 – 103 .
  • Bahmani-Oskooee , M. & Brooks , T. J. ( 1999 ). ‘Bilateral J-curve between U.S. and her trading partners . Weltwirtschaftliches Archiv , 135 , 156 – 165 .
  • Bahmani-Oskooee , M. , Goswami , Gour G. , & Talukdar , B. K. ( 2008 ). The bilateral J-curve: Canada versus her 20 trading partners . International Review of Applied Economics , 22 , 93 – 104 .
  • Bahmani-Oskooee , M. & Kutan , A. M. ( 2009 ). The J-curve in the emerging economies of Eastern Europe . Applied Economics , 41 , 2523 – 2532 .
  • Bahmani-Oskooee , M. & Ratha , A. ( 2004a ). The J-curve: A literature review . Applied Economics , 36 , 1377 – 1398 .
  • Bahmani-Oskooee , M. & Ratha , A. ( 2004b ). The J-curve dynamics of U.S. bilateral trade . Journal of Economics and Finance , 28 , 32 – 38 .
  • Bewley , R. (1979). The direct estimation of the equilibrium response in a Linear dynamic model. Economics Letters , 3, 357–361.
  • Boyd , D. , Caporale , G. M. , & Smith , R. ( 2001 ). Real exchange rate effects on the balance of trade: Cointegration and the Marshall-Lerner condition . International Journal of Finance and Economics , 6 , 187 – 200 .
  • Gylfason , T. & Schmid , M. ( 1983 ). Does devaluation cause stagflation? Canadian Journal of Economics , 16 , 641 – 654 .
  • Hacker , R. S. & Abdulnasser , H.-J. ( 2003 ). Is the J-curve effect observable for small North EuropeaneEconomies? Open Economies Review , 14 , 119 – 134 .
  • Hacker , R. S. & Hatemi , J. A. ( 2004 ). The effect of exchange rate changes on trade balances in the short and long run: Evidence from German trade with transitional Central European economies . Economics of Transition , 12 , 777 – 799 .
  • Hsing , Y. & Sergi , B. S. ( 2009 ). An empirical test of the J-curve for Estonia, Latvia, and Lithuania and policy implications . Transformations in Business & Economics , 8 , 63 – 71 .
  • Johansen , S. ( 1996 ). Likelihood-Based Inference in Cointegrated Vector Autoregressive Models . Oxford , UK : Oxford University Press .
  • Junz , H. B. & Rhomberg , R. R. ( 1973 ). Price-competitiveness in export trade among industrial countries . American Economic Review , 63 , 412 – 418 .
  • Kim , S. ( 2001 ). Effects of monetary policy shocks on the trade balance in small open European countries . Economics Letters , 71 , 197 – 203 .
  • Krugman , P. R. & Obstfeld , M. ( 2003 ). International Economics: Theory and Policy, , 6th ed. Reading , MA : Addison-Wesley .
  • Lee , J. & Chinn , M. D. ( 2002 ). Current account and real exchange rate dynamics in the G-7 countries. IMF Working Paper, No. WP/02/130.
  • Levin , J. H. ( 1983 ). The J-curve, rational expectations, and the stability of the flexible exchange rate system . Journal of International Economics , 15 , 239 – 251 .
  • Magee , S. P. ( 1973 ). Currency contracts, pass through and devaluation . Brooking Papers on Economic Activity , 1 , 303 – 325 .
  • Marwah , K. & Klein , L. R. ( 1996 ). Estimation of J-curves: United States and Canada . Canadian Journal of Economics , 29 , 523 – 539 .
  • Marquez , J. ( 1990 ). Bilateral trade elasticities . Review of Economics and Statistics , 72 , 70 – 77 .
  • Meade , E. E. ( 1988 ). Exchange rates, adjustment, and the J-curve . Federal Reserve Bulletin , 74 , 633 – 644 .
  • Miles , M. A. ( 1979 ). The effects of devaluation on the trade balance and the balance of payments: Some new results . Journal of Political Economy , 87 , 600 – 620 .
  • Nadenichek , J. ( 2006 ). The J-curve effect: An examination using a structural vector error correction model . International Journal of Applied Economics , 3 , 34 – 47 .
  • Noland , M. ( 1989 ). Japanese trade elasticities and the J-curve . Review of Economics and Statistics , 71 , 175 – 179 .
  • Pesaran , M. H. & Shin , Y. ( 1998 ) Generalized impulse response analysis in linear multivariate models . Economics Letters , 58 , 17 – 29 .
  • Pesaran , M. H. , Shin , Y. , & Smith , R. J. ( 1996 ). Testing for the existence of a long-run relationship . DAE Working Papers Amalgamated Series , no. 9622. University of Cambridge .
  • Rose , A. K. (1990). Exchange rates and the trade balance: Some evidence from developing countries. Economics Letters , 34, 271–275.
  • Rose , A. K. & Yellen , J. L. ( 1989 ). Is there a J-curve? Journal of Monetary Economics , 24 , 53 – 68 .
  • Shirvani , Hassan & Wilbratte , Barry ( 1997 ). The relationship between the real exchange rate and the trade balance: An empirical reassessment . International Economic Journal , 11 , 39 – 50 .

Reprints and Corporate Permissions

Please note: Selecting permissions does not provide access to the full text of the article, please see our help page How do I view content?

To request a reprint or corporate permissions for this article, please click on the relevant link below:

Academic Permissions

Please note: Selecting permissions does not provide access to the full text of the article, please see our help page How do I view content?

Obtain permissions instantly via Rightslink by clicking on the button below:

If you are unable to obtain permissions via Rightslink, please complete and submit this Permissions form. For more information, please visit our Permissions help page.