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Author: | Bahmani-Oskooee, M. |
Title: | Deterioration in he terms-of-trade improves the balance of payments even if not the trade balance: evidence from LDCs |
Journal: | Quarterly Review of Economics and Business
1990 : AUTUMN, VOL. 30:3, p.73-84 |
Index terms: | INTERNATIONAL ECONOMICS BALANCE OF PAYMENTS |
Language: | eng |
Abstract: | The paper provides theoretical reasoning and empirical support that a deterioration in the terms of trade can improve the balance of payments even when it has no effect on the trade balance. The argument is supported by estimating short- and long-run effects for four developing countries, using quarterly data over the 1975-1985 period. |
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