Gust, Christopher; Leduc, Sylvain; Sheets, Nathan - In: Journal of International Economics 79 (2009) 2, pp. 173-185
This paper assesses whether partial exchange-rate pass-through to trade prices has important implications for the prospective adjustment of global external imbalances. To address this question, we develop and estimate an open-economy DSGE model in which pass-through is incomplete due to the...