Changes in the price of nontradable goods relative to tradable goods
account for roughly 50 percent of the cyclical movements in real exchange
rates.
Date Published:2006
Citations:Burstein, Ariel, Martin Eichenbaum, Sergio Rebelo. 2006. Comment on "How Important Are Nontradable Goods Prices As Sources of Cyclical Fluctuations in Real Exchange Rates?". Japan and the World Economy.