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Real Exchange Rate Effects of Fiscal Expansion under Trade Restrictions

✍ Scribed by Panos Hatzipanayotou and Michael S. Michael

Book ID: 125000866
Publisher: John Wiley and Sons
Year: 1997
Tongue: English
Weight: 383 KB
Volume: 30
Category: Article
ISSN: 0008-4085
DOI: 10.2307/136359

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## Abstract A typical finding in the empirical literature is that import and export demand elasticities are rather low, and that the Marshall–Lerner (ML) condition does not hold. However, despite the evidence against the ML condition, the consensus is that real devaluations do improve the balance o