Transnational capitals have not been as footloose as theorists of a new international division of labor have proposed. Taiwanese direct investment in southern China represents a case where transnational capital flows are shaped by cultural and institutional conditions. The effectiveness of...

Extending Irving Fisher's intertemporal budget constraint, applying the GARCH model, and based on the equilibrium in aggregate demand and aggregate supply, it is found that a weak US dollar helps real output and that low deposit rates reduce interest income, consumption spending and aggregate...