Publication: Medium Term Business Cycles in Developing Countries
Abstract
This paper studies the transmission of business cycle fluctuations for developed (N ) to developing economies (S ) with a two-country, asymmetric, DSGE model with endogenous development of new technologies in N, and sunk costs of exporting and transferring the production of the intermediate goods to S. Consistent with the data, the flow of technologies from N to S co-moves positively with output in N and S; shocks to N have a large effect on S; business cycles in N lead over medium term fluctuations in S; the cross-correlation of outputs is larger than consumption; and interest rates in S are counter-cyclical.
Link to Data Set
Report Series
Other publications in this report series
Journal
Journal Volume
Journal Issue
Collections
Associated URLs
Associated content
Citations
-
Cited 16 times in Scopus (View citations)