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International Real Business Cycles

Author

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  • Mario J. Crucini

    () (Department of Economics, Vanderbilt University)

Abstract

This paper is a non-technical review of research developments in the international real business cycle literature. International business cycle facts are summarize with particular attention to the sources of output variance from the expenditure side of the NIPA and the production side, using a familiar neoclassical production function. Theoretical developments focus on the how consumption smoothing and investment dynamics shape the current account; the search for sources and propagation mechanisms of international business cycle comovement and key facets of relative price determination (the real exchange rate and the terms of trade).

Suggested Citation

  • Mario J. Crucini, 2006. "International Real Business Cycles," Vanderbilt University Department of Economics Working Papers 0617, Vanderbilt University Department of Economics.
  • Handle: RePEc:van:wpaper:0617
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    File URL: http://www.accessecon.com/pubs/VUECON/vu06-w17.pdf
    File Function: First version, 2006
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    References listed on IDEAS

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    Cited by:

    1. Jiang, Mingming, 2016. "By force of demand: Explaining cyclical fluctuations of international trade and government spending," Journal of Economic Dynamics and Control, Elsevier, vol. 69(C), pages 249-267.

    More about this item

    Keywords

    International business cycles; current account; real exchange rates;

    JEL classification:

    • A1 - General Economics and Teaching - - General Economics
    • F4 - International Economics - - Macroeconomic Aspects of International Trade and Finance
    • E3 - Macroeconomics and Monetary Economics - - Prices, Business Fluctuations, and Cycles

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