The J- and S-curves: a survey of the recent literature
Purpose – Since the introduction of the concepts of the J- and S-curves, many researchers have tried to verify their validity empirically. This paper aims to review the related papers and to offer direction for future research. Design/methodology/approach – This is a review paper. As such, no method is employed here. Rather, the methodologies used by others to test the J- and S-curves are explained and reviewed. Findings – No new findings are offered since this is a review paper. Practical implications – The J- and S-curves show whether currency depreciation worsens the trade balance first before improving it. Since the majority of studies are country-specific, policymakers could benefit by learning whether currency depreciation will be effective in improving the trade balance. Originality/value – This is a literature review paper and its originality is in terms of collecting the literature together and presenting it in one single paper.
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Volume (Year): 37 (2010)
Issue (Month): 6 (September)
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