Arbeitspapier
Trade flows and exchange rates: Importers, exporters and products
Using highly disaggregated transaction-level trade data, we document the importance of new firmlevel trade partner relationships and the addition of new products to existing relationships in driving long-run import flows. Moreover, we find that these margins are sensitive to movements in the exchange rate. We rationalize these findings in a model of international trade with endogenous matching between heterogenous importers and exporters. Simulations of the model highlight a new channel through which exchange rate movements can affect trade - through the short-run formation of new trade relationships and the range of products traded within relationships - which can impact long-run flows.
- Language
-
Englisch
- Bibliographic citation
-
Series: Bank of Canada Staff Working Paper ; No. 2019-41
- Classification
-
Wirtschaft
- Subject
-
International topics
Exchange rates
Firm dynamics
- Event
-
Geistige Schöpfung
- (who)
-
Devereux, Michael B.
Dong, Wei
Tomlin, Ben
- Event
-
Veröffentlichung
- (who)
-
Bank of Canada
- (where)
-
Ottawa
- (when)
-
2019
- DOI
-
doi:10.34989/swp-2019-41
- Handle
- Last update
-
10.03.2025, 11:41 AM CET
Data provider
This object is provided by:
ZBW - Deutsche Zentralbibliothek für Wirtschaftswissenschaften - Leibniz-Informationszentrum Wirtschaft. If you have any questions about the object, please contact the data provider.
ZBW - Deutsche Zentralbibliothek für Wirtschaftswissenschaften - Leibniz-Informationszentrum Wirtschaft. If you have any questions about the object, please contact the data provider.
Object type
- Arbeitspapier
Associated
- Devereux, Michael B.
- Dong, Wei
- Tomlin, Ben
- Bank of Canada
Time of origin
- 2019
Other Objects (12)
The role of expenditure switching in the global imbalance adjustment
Expenditure-switching effect and the choice of exchange rate regime
Do central banks respond to exchange rate movements? Some new evidence from structural estimation
The digital economy: Insight from a special survey with IT service exporters
Production networks and the propagation of commodity price shocks
Exchange rates and individual good's price misalignment: Some preliminary evidence of long-horizon predictability
Non-Performing loans fiscal costs and credit expansion in China
Exchange Rate Pass-Through, Currency of Invoicing and Market Share
The sensitivity of producer prices to exchange rates: Insights from micro data
The serine protease activated protein C protects against renal ischemia reperfusion injura
Erratum
Imaging the Ear Anatomy and Function Using Optical Coherence Tomography Vibrometry
The role of expenditure switching in the global imbalance adjustment
Expenditure-switching effect and the choice of exchange rate regime
Do central banks respond to exchange rate movements? Some new evidence from structural estimation
The digital economy: Insight from a special survey with IT service exporters
Production networks and the propagation of commodity price shocks
Exchange rates and individual good's price misalignment: Some preliminary evidence of long-horizon predictability
Non-Performing loans fiscal costs and credit expansion in China
Exchange Rate Pass-Through, Currency of Invoicing and Market Share
The sensitivity of producer prices to exchange rates: Insights from micro data
The serine protease activated protein C protects against renal ischemia reperfusion injura
Erratum
Imaging the Ear Anatomy and Function Using Optical Coherence Tomography Vibrometry
The role of expenditure switching in the global imbalance adjustment
Expenditure-switching effect and the choice of exchange rate regime
Do central banks respond to exchange rate movements? Some new evidence from structural estimation
The digital economy: Insight from a special survey with IT service exporters
Production networks and the propagation of commodity price shocks
Exchange rates and individual good's price misalignment: Some preliminary evidence of long-horizon predictability
Non-Performing loans fiscal costs and credit expansion in China
Exchange Rate Pass-Through, Currency of Invoicing and Market Share
The sensitivity of producer prices to exchange rates: Insights from micro data
The serine protease activated protein C protects against renal ischemia reperfusion injura
Erratum