You are not currently logged in.
Access JSTOR through your library or other institution:
If You Use a Screen ReaderThis content is available through Read Online (Free) program, which relies on page scans. Since scans are not currently available to screen readers, please contact JSTOR User Support for access. We'll provide a PDF copy for your screen reader.
Real Exchange Rate Volatility and U.S. Bilateral Trade: A Var Approach
Faik Koray and William D. Lastrapes
The Review of Economics and Statistics
Vol. 71, No. 4 (Nov., 1989), pp. 708-712
Published by: The MIT Press
Stable URL: http://www.jstor.org/stable/1928117
Page Count: 5
Since scans are not currently available to screen readers, please contact JSTOR User Support for access. We'll provide a PDF copy for your screen reader.
Preview not available
This paper uses VAR models to investigate the impact of real exchange rate volatility on U.S. bilateral imports from the United Kingdom, France, Germany, Japan and Canada. The VAR systems include U.S. and foreign macro variables, and are estimated separately for each country. The major results suggest that the effect of volatility on imports is weak, although permanent shocks to volatility do have a nega- tive impact on this measure of trade, and those effects are relatively more important over the flexible rate period.
The Review of Economics and Statistics © 1989 The MIT Press