Emerging Economy Business Cycles
Download or Read eBook Emerging Economy Business Cycles PDF written by Rudrani Bhattacharya and published by International Monetary Fund. This book was released on 2013-05-22 with total page 26 pages. Available in PDF, EPUB and Kindle.
Author | : Rudrani Bhattacharya |
Publisher | : International Monetary Fund |
Total Pages | : 26 |
Release | : 2013-05-22 |
ISBN-10 | : 9781484356166 |
ISBN-13 | : 1484356160 |
Rating | : 4/5 (66 Downloads) |
Book Synopsis Emerging Economy Business Cycles by : Rudrani Bhattacharya
Book excerpt: This paper analyses the extent to which financial integration impacts the manner in which terms of trade affect business cycles in emerging economies. Using a s mall open economy model, we show that as capital account openness increases in an economy that faces trade shocks, business cycle volatility reduces. For an economy with limited financial openness, and a relatively open trade account, a model with exogenous terms of trade shocks is able to replicate the features of the business cycle.