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The Empirical Range of Pass-Through in US, German and Japanese Macrodata

  • Alexander Mihailov

    (University of Essex)

This paper compares exchange rate pass-through to aggregate prices in the US, Germany and Japan across a number of dimensions. Building on the empirical approaches in the recent literature, our contribution is to perform a thorough sensitivity analysis of pass-through estimates. We find that the econometric method, data frequency and variable proxy employed matter for the precision of details, yet they often agree on some general trends. Thus, pass-through to import prices has declined in the 1990s relative to the 1980s, pass-through to export prices remains country-specific and pass-through to consumer prices is nowadays negligible in all three economies we considered. Copyright © 2008 John Wiley & Sons, Ltd.

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File URL: http://repec.org/mmfc04/44.pdf
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Paper provided by Money Macro and Finance Research Group in its series Money Macro and Finance (MMF) Research Group Conference 2004 with number 44.

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Date of creation: 17 Sep 2004
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Handle: RePEc:mmf:mmfc04:44
Contact details of provider: Web page: http://www.essex.ac.uk/afm/mmf/index.html

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