Dundee Discussion Papers in Economics 110: The exports transmission mechanism of foreign business cycles to Australia

TY - UNPB

T1 - Dundee Discussion Papers in Economics 110

T2 - The exports transmission mechanism of foreign business cycles to Australia

AU - De Roos, Nicolas

AU - Russell, Bill

N1 - The definitive version is available at www3.interscience.wiley.com This paper was also published by Wiley-Blackwell in Economic Record, Vol. 78 (240), pp. 50-59.

PY - 2000

Y1 - 2000

N2 - This paper examines the impact of foreign business cycles on Australian exports. After accounting for the effect of domestic activity on exports we find that foreign activity has at times had a large impact on Australian exports and, therefore, also on Australian GDP. We also find evidence that the US and Japan have a high output elasticity of demand for Australia’s exports. Consequently, their business cycles have a larger impact on Australia’s exports than that suggested by their market shares of Australian exports.

AB - This paper examines the impact of foreign business cycles on Australian exports. After accounting for the effect of domestic activity on exports we find that foreign activity has at times had a large impact on Australian exports and, therefore, also on Australian GDP. We also find evidence that the US and Japan have a high output elasticity of demand for Australia’s exports. Consequently, their business cycles have a larger impact on Australia’s exports than that suggested by their market shares of Australian exports.

KW - Business cycles

KW - Exports

KW - Cointegration

M3 - Discussion paper

T3 - Dundee Discussion Papers in Economics

BT - Dundee Discussion Papers in Economics 110

PB - University of Dundee

ER -