LEADER 05710oam 22012374 450 001 9910786485003321 005 20230801225342.0 010 $a1-4755-5240-8 010 $a1-4755-8061-4 035 $a(CKB)2670000000278882 035 $a(EBL)1606986 035 $a(SSID)ssj0000952643 035 $a(PQKBManifestationID)11603817 035 $a(PQKBTitleCode)TC0000952643 035 $a(PQKBWorkID)10902373 035 $a(PQKB)10116979 035 $a(MiAaPQ)EBC1606986 035 $a(Au-PeEL)EBL1606986 035 $a(CaPaEBR)ebr10627103 035 $a(OCoLC)870245021 035 $a(IMF)WPIEE2012226 035 $a(IMF)WPIEA2012226 035 $a(EXLCZ)992670000000278882 100 $a20020129d2012 uf 0 101 0 $aeng 135 $aur|n|---||||| 181 $ctxt 182 $cc 183 $acr 200 14$aThe Exchange Rate Pass -Through to Import and Export Prices : $eThe Role of Nominal Rigidities and Currency Choice /$fEhsan Choudhri, Dalia Hakura 210 1$aWashington, D.C. :$cInternational Monetary Fund,$d2012. 215 $a1 online resource (35 p.) 225 1 $aIMF Working Papers 225 0$aIMF working paper ;$vWP/12/226 300 $a"September 2012." 311 $a1-4755-8980-8 311 $a1-4755-1023-3 320 $aIncludes bibliographical references. 327 $aCover; Contents; I. Introduction; II. Empirical Evidence; III. The Model; A. Basic Setup; B. Key Relations; IV. Quantitative Analysis; A. Key Determinants of the Pass-Through to Trade Prices; B. Currency of Invoicing and the Pass-Through; V. Concluding Remarks; References; Tables; 1. OLS Regressions: Impact of Exchange Rate Changes on Trade Prices, 1979-2010; 2. VAR: First Quarter Trade Price Response to a One Percent Change in the Exchange Rate, 1979-2010; 3. Pass-Through Elasticities for Different Shocks 327 $a4. Wage-Price Stickiness, Exchange Rate Persistence, Inflation Reaction and the Pass-Through5. Stochastic Simulations; 6. Invoicing Currency Shares and the Pass-Through; Figures; 1. Regression and VAR Estimates of the Pass-Through; 2. Impulse Response Functions; 3. PCP Shares and the Pass-Through; Appendix Tables; 1. VAR: First Quarter Trade Price Response to a One Percent Change in the Exchange Rate 1985-1997; 2. VAR: First Quarter Trade Price Response to a One Percent Change in the Exchange Rate 1998-2010 330 3 $aUsing both regression- and VAR-based estimates, the paper finds that the exchange rate pass-through to import prices for a large number of countries is incomplete and larger than the pass-through to export prices. Previous studies have reported similar results, which give rise to the puzzle that while local currency pricing is needed to account for incomplete import price pass-through, it would not imply a lower export price pass-through. Recent explanations of this puzzle have emphasized markup adjustment in response to exchange rate changes. This paper suggests an alternative explanation based on the presence of both producer and local currency pricing. Using a dynamic general equilibrium model, the paper shows that a mix of producer and local currency pricing can explain the pass-through evidence even with a constant markup. The model can also explain the observed exchange rate and inflation variability as well as the fact that the regression and VAR estimates tend to be similar. 410 0$aIMF Working Papers; Working Paper ;$vNo. 2012/226 606 $aExchange rate pass-through 606 $aPrices 606 $aForeign Exchange$2imf 606 $aMacroeconomics$2imf 606 $aMoney and Monetary Policy$2imf 606 $aPrice Level$2imf 606 $aInflation$2imf 606 $aDeflation$2imf 606 $aInternational Policy Coordination and Transmission$2imf 606 $aMonetary Policy$2imf 606 $aOpen Economy Macroeconomics$2imf 606 $aMonetary Systems$2imf 606 $aStandards$2imf 606 $aRegimes$2imf 606 $aGovernment and the Monetary System$2imf 606 $aPayment Systems$2imf 606 $aCurrency$2imf 606 $aForeign exchange$2imf 606 $aMonetary economics$2imf 606 $aExport prices$2imf 606 $aImport prices$2imf 606 $aExchange rates$2imf 606 $aExchange rate pass-through$2imf 606 $aCurrencies$2imf 606 $aPrices$2imf 606 $aMoney$2imf 606 $aExports$2imf 606 $aImports$2imf 607 $aUnited States$2imf 615 0$aExchange rate pass-through. 615 0$aPrices. 615 7$aForeign Exchange 615 7$aMacroeconomics 615 7$aMoney and Monetary Policy 615 7$aPrice Level 615 7$aInflation 615 7$aDeflation 615 7$aInternational Policy Coordination and Transmission 615 7$aMonetary Policy 615 7$aOpen Economy Macroeconomics 615 7$aMonetary Systems 615 7$aStandards 615 7$aRegimes 615 7$aGovernment and the Monetary System 615 7$aPayment Systems 615 7$aCurrency 615 7$aForeign exchange 615 7$aMonetary economics 615 7$aExport prices 615 7$aImport prices 615 7$aExchange rates 615 7$aExchange rate pass-through 615 7$aCurrencies 615 7$aPrices 615 7$aMoney 615 7$aExports 615 7$aImports 700 $aChoudhri$b Ehsan$01546594 701 $aHakura$b Dalia$01472693 801 0$bDcWaIMF 906 $aBOOK 912 $a9910786485003321 996 $aThe Exchange Rate Pass -Through to Import and Export Prices$93858237 997 $aUNINA