Resource title

Simultaneous causality in international trade

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Resource description

This paper proposes estimating causalities in bilateral international trade in simultaneous systems, including domestic and foreign GDP as well as mutual trade flows. Conventional macroeconomic theory mainly follows partial approaches like import functions or exportled growth. Focusing on the US relations with Euroland and Canada, cointegration analyses however reveal,that the system dynamics, and so both im- and exports, are simply governed by US GDP shocks. In conclusion, exploring sources and effects of international trade should be seen as an inherently empirical task.

Resource author

Enzo Weber

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Resource language

eng

Resource content type

text/html

Resource resource URL

http://hdl.handle.net/10419/25190

Resource license

Adapt according to the presented license agreement and reference the original author.