US Trade Policy and the US Dollar

Foreign Lobbies and US Trade Policy∗

In popular discussion much has been made recently of the susceptibility of government policies to lobbying by foreigners. The general presumption has also been that such interactions have a deleterious effect on the home economy. However, it can be argued that, in a trade policy context, bending policy in a direction that would suit foreigners may not in fact be harmful: If the policy outcome a...

Excess Comovements between the Euro/US dollar and British pound/US dollar exchange rates

The aim of this annual workshop is to offer a forum for young researchers from the field of International Economics to present and to discuss their current topics of research with other experts. The workshop also provides the opportunity to gain an overview of recent developments, problems and methodological approaches in this field. The aim of this paper is to discuss excess comovements for th...

Human Rights in US Foreign Policy

Should Argentina Adopt the US Dollar?

This paper examines the pros and cons of the recent proposal that Argentina should adopt the US dollar as its official currency, rather than have a currency board system in which the units of domestic currency issued are backed “one-to-one” by dollar reserves. The motivation for adopting the dollar seems to be that it could guarantee credibility in monetary policy and eliminate the risk premium...

The US Dollar and Trade Deficit: What Accounts for the Late 1990s?∗

This paper asks to which extent productivity shocks may account for real exchange rate and trade balance developments in the US in the second half of the 1990s. The analysis is based on a version GEM calibrated to analyze macroeconomic interdependence between the US and the rest of the world. The paper concludes that the Balassa-Samuelson effect of a permanent productivity shock in the tradable...