External Shocks and Business Cycle Fluctuations in Mexico : How Important are U.S. Factors?

How Important are U.S. Factors?

External Shocks and Business Cycle Fluctuations in Mexico : How Important are U.S. Factors?
This paper examines the relative importance of external shocks as sources of business cycle fluctuations in Mexico, and identifies the dynamic responses of domestic output to foreign disturbances. Using a VAR model with block exogeneity restrictions, it finds that U.S. shocks explain a large share of Mexico's macroeconomic fluctuations after... READ MORE...

Publication date: April 2008
ISBN 9781451869613
$18.00

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