Basu, Parantap; Thoenissen, Christoph - Centre for Dynamic Macroeconomic Analysis, University … - 2007
, relative price of investment goods terms
of trade.
1 Introduction
The relative price of investment goods with respect to … for consumption
and investment goods, and (ii) the resulting e�ect on the terms of trade.
A positive IST shock at home is … intermediate goods. The response
of the relative price of investment goods is linked to the terms of trade via the relative degree …