Applying a general equilibrium approach, this paper examines output fluctuations in Poland and finds that real output is negatively influenced by the deficit/GDP ratio, the euro interest rate, the expected inflation rate, and country risk and positively affected by real quantity of money and...

This study finds that there is evidence of a J-curve for Chile, Ecuador, and Uruguay and lack of support for a J-curve for Argentina, Brazil, Colombia, and Peru. Increased real income in the home country would improve the trade balance for Brazil and Ecuador and deteriorate the trade balance for...

Extending the Romer (2000) model and the Taylor (1993; 1998; 1999) rule, this paper derives theoretical relationships between equilibrium output in Mexico and a change in the exchange rate, stock values, or the world interest rate. Empirical results show that more deficit spending, higher stock prices,...

The objective of the paper is to examine the impact of higher oil prices on Mexico's real GDP. Applying an open economy model, this paper finds that more money supply, more deficit spending, a higher real stock price, real appreciation of the peso, a lower US interest rate, and a lower expected...

Extending the Romer (2000) model and the Taylor (1993; 1998; 1999) rule, this paper derives theoretical relationships between equilibrium output in Mexico and a change in the exchange rate, stock values, or the world interest rate. Empirical results show that more deficit spending, higher stock prices,...

Applying and extending the Mundell-Fleming model, this study attempts to examine the behavior of short-term real exchange rates for Venezuela. It finds that the real effective exchange rate is positively associated with real government deficit spending and negatively influenced by real M2, the...