Trade and Gold Reserves after the Demise of the Classical Gold Standard
After the early 1920s, the relationship between gold reserves and trade flows was tenuous at best as the international payments system experienced heightened uncertainty and significant change.
Measuring Labor Share in Developing Countries
Oftentimes economists think of income in terms of its factor components: labor and capital. The labor share is the fraction of labor income over gross domestic product (GDP), while the capital share is similarly the fraction of capital income over GDP. The labor share used to not draw much attention from researchers because it was long considered to be constant over time. However, it is now well-documented that the labor share in developed countries has, in fact, declined over the last few decades, but evidence remains mixed for developing countries.
Comparing Value-Added Trade and Gross Trade
Which one provides a more accurate picture of global trade? And what does the U.S. trade balance with several major trading partners look like for the two measures?
How to Achieve a V-Shaped Recovery amid the COVID-19 Pandemic
Contrasting the Great Depression and Great Recession recoveries helps show how GDP levels and growth rates can respond to different levels of policy responses.
Understanding the Trade Imbalance and Employment Decline in U.S. Manufacturing
Economic analysis suggests that a trade war with China can neither stop the decline in American manufacturing employment nor eliminate the U.S. trade deficit, but it could significantly reduce the welfare of American consumers by making U.S. imports of Chinese goods more expensive. Moreover, it could cause the United States to lose its global leadership in free trade and globalization and facilitate China's rise as a world leader in trade and commerce. A better approach may be for policymakers to design policies that can ensure fair redistribution of the gains from free trade among American ...
Changing Trade Relations May Affect U.S. Auto Exports in Long Run
The proposed trade agreement USMCA and trade disputes with China may have an impact on the U.S. auto sector.
Historical U.S. Trade Deficits
U.S. trade deficits appear to follow phases of industrialization.
Looking for the Positives In Negative Interest Rates
Negative interest rates may seem ludicrous since why would an individual buy a government bond with a negative yield, but this is what a central bank would like you to think. The central bank?s goal is to incentivize agents to shift investments away from government bonds to something more productive economically, thus stimulating the economy.
Industry Mix May Help Explain Urban-Rural Divide in Economic Growth
Economic growth in U.S. rural areas may be slower than growth in urban areas because of a different industry mix.
The Changing Relationship between Trade and America’s Gold Reserves
For much of U.S. history, gold reserves and trade flows were closely linked. That changed with the end of the gold standard.