More complex products are less substitutable in international trade and may therefore have lower price elasticities. We investigate this issue using 960 types of manufactured exports from the People’s Republic of China (PRC) to 190 partner economies disaggregated at the Harmonized System...

The U.S. trade deficit with China exceeded $200 billion in 2005. Many blame these imbalances on the value of the renminbi. This paper investigates how an appreciation of the RMB would affect the U.S. trade balance with China. Johansen MLE and dynamic OLS results indicate that the long run real...

The U.S. trade deficit with China exceeded $200 billion in 2005. Many blame these imbalances on the value of the renminbi. This paper investigates how an appreciation of the RMB would affect the U.S. trade balance with China. Johansen MLE and dynamic OLS results indicate that the long run real...