Asymmetric J-curve: evidence from industry trade between U.S. and U.K.

C-Tier
Journal: Applied Economics
Year: 2020
Volume: 52
Issue: 25
Pages: 2679-2693

Score contribution per author:

0.503 = (α=2.01 / 2 authors) × 0.5x C-tier

α: calibrated so average coauthorship-adjusted count equals average raw count

Abstract

Previous research that assessed the impact of exchange rate changes on the trade balance between the U.S. and U.K. assumed the effects are symmetric. In this paper, we add to the literature on the asymmetric J-curve phenomenon by considering the trade balance of 68 two-digit industries that trade between the two countries. We find short-run asymmetric effects of the real dollar-pound rate in almost all industries. However, short-run asymmetric effects were translated into significant long-run asymmetric effects in 25 industries. Indeed, the asymmetric J-curve hypothesis was supported in 18 industries.

Technical Details

RePEc Handle
repec:taf:applec:v:52:y:2020:i:25:p:2679-2693
Journal Field
General
Author Count
2
Added to Database
2026-01-24