While the impact of exchange rate changes on economic growth has long been an issue of key importance in international macroeconomics, it has received renewed attention in recent years, owing to weaker growth rates and the debate on "currency wars". However, in spite of its prevalence in the...

While the impact of exchange rate changes on economic growth has long been an issue of key importance in international macroeconomics, it has received renewed attention in recent years, owing to weaker growth rates and the debate on "currency wars". However, in spite of its prevalence in the...

Inflation volatility is clearly important for structural analysis, forecasting and policy purposes, yet it is often overlooked in the literature. This paper compares inflation volatility among advanced open economies with inflation targeting monetary policy frameworks. The results of the...

Inflation volatility is clearly important for structural analysis, forecasting and policy purposes, yet it is often overlooked in the literature. This paper compares in ation volatility among advanced open economies with in ation targeting monetary policy frameworks. The results of the empirical...

This study re-examines McMillan’s analysis (1978) of a dynamic small open economy with a public intermediate good. On the trade patterns of the open economy, we find results that were overlooked in McMillan’s analysis. Among others, if labor endowment is of intermediate size, there are...

Whether a liberalizing developing economy should implement the entire WTO-prescribed package and to what extent this is expedient, are the two burning questions, especially because available empirical evidence suggests that the developing countries have been facing substantial adjustment costs...

The paper purports to examine the implications of a free education policy and trade liberalization on the child and adult labor markets in the set-up of a Harris-Todaro type general equilibrium model. It has been found that a hike in the education subsidy or inflow of foreign capital may produce...

In a production structure reasonable for a developing economy this note shows that there may arise a conflict between the worldwide liberalized trade policies in agriculture, which raise the price of the economy’s primary exportable commodity, and the inflow of foreign capital into the...

The paper builds up a Harris-Todaro type general equilibrium model to examine the implications of a free education policy and liberalized trade policies on the child labour market. It shows that an increase in the subsidy on education and/or inflow of foreign capital may produce...

Whenever a country specializes on industries that use female labor intensively, its female labor force participation should increase. This intuition, which bases on the Stolper-Samuleson Theorem, may fail in a three-factor, two-good model. We develop a model where capital, male and female work...