Is the exchange rate a shock absorber or a source of shocks? Evidence from the U.S.
Sign Up to like & getrecommendations! Published in 2020 at "Economic Modelling"
DOI: 10.1016/j.econmod.2019.10.015
Abstract: Abstract We examine the stabilization role of the exchange rate in the U.S. economy using a factor augmented vector autoregression model. We find that exchange rate shock explains a large fraction of the variation in… read more here.
Keywords: rate shock; shock absorber; exchange; exchange rate ... See more keywords