A large body of empirical work has found that exchange rate movements have only modest effects on inflation. However, the response of an import price index to exchange rate movements may be underestimated because some import price changes are missed when constructing the index. We investigate...

The rapid growth of offshoring has sparked a contentious debate over its impact on the U.S. manufacturing sector, which has recorded steep employment declines yet strong output growth -- a fact reconciled by the notable gains in manufacturing productivity. We maintain, however, that the dramatic...

The great trade collapse in the wake of the 2008-9 financial crisis provided a unique insight into the complexities inherent to international markets, and underlined a number of lessons for us to consider as we evaluate the shape of the global trade recovery. While the factors contributing to...