Testing the Short-And-Long-Run Exchange Rate Effects on Trade Balance: The Case of Colombia

Borradores de Economia
Number: 
120
Published: 
Classification JEL: 
C32, C52, E1, F31, F41
Keywords: 
Human capital agglomeration, Social returns, Private returns, Externalities, Uncertainty, Fiscal policy
Download document

The most recent

Minimum Markup Laws and Multiproduct Pricing
Daniel Herrera-Araujo, Jorge Florez-Acosta
Unpaid Care Work and Regional Gender Gaps in Labor Force Participation in Colombia
Luis Armando Galvis-Aponte, Adriana Marcela Rivera-Zárate
Assessing the Effects of Recent Provisioning Rules on Consumer Credit Allocation in Colombia
Diego Fernando Cuesta-Mora, Fredy Alejandro Gamboa-Estrada, Camilo Eduardo Sánchez-Quinto

This paper examines the role of exchange rates in determining the short-and-long-run trade balance behavior for Colombia. Conventional wisdom says that a nominal devaluation improves the trade balance. This conjecture is rooted in the Bickerdike- Robinson