EconStor >
Federal Reserve Bank of New York >
Staff Reports, Federal Reserve Bank of New York >

Please use this identifier to cite or link to this item:

http://hdl.handle.net/10419/60666
  

Full metadata record

DC FieldValueLanguage
dc.contributor.authorCampa, José Manuelen_US
dc.contributor.authorGoldberg, Linda S.en_US
dc.date.accessioned2012-08-17T14:28:28Z-
dc.date.available2012-08-17T14:28:28Z-
dc.date.issued2006en_US
dc.identifier.urihttp://hdl.handle.net/10419/60666-
dc.description.abstractIn this paper, we use cross-country and time-series evidence to argue that retail price sensitivity to exchange rates may have increased over the past decade. This finding applies to traded goods as well as to non-traded goods. We highlight three reasons for the change in pass-through into the retail prices of goods. First, pass-through may have declined at the level of import prices, but the evidence is mixed over types of goods and countries. Second, there has been a large expansion of imported input use across sectors, meaning that the costs of imported goods as well as home-tradable goods have heightened sensitivity to import prices and exchange rates. Finally, we consider whether there have been changing sectoral expenditures on distribution services, with the direction of change negatively correlated with pass-through into final consumption prices. We find that this channel, which has been a means of insulating consumption prices from import content and exchange rates, has not systematically changed in recent years. On balance, these effects support increased sensitivity of consumption prices to exchange rates, even if exchange rate pass-through into import prices has declined for some types of goods.en_US
dc.language.isoengen_US
dc.publisherFederal Reserve Bank of New York New York, NYen_US
dc.relation.ispartofseriesStaff Report, Federal Reserve Bank of New York 261en_US
dc.subject.jelF3en_US
dc.subject.jelF4en_US
dc.subject.ddc330en_US
dc.subject.keywordexchange rateen_US
dc.subject.keywordpass-throughen_US
dc.subject.keywordimport pricesen_US
dc.subject.keyworddistribution marginsen_US
dc.subject.keywordconsumer pricesen_US
dc.subject.keywordimported inputsen_US
dc.subject.stwExchange Rate Pass-Throughen_US
dc.subject.stwAußenhandelspreisen_US
dc.subject.stwLebenshaltungsindexen_US
dc.subject.stwIndustriestaatenen_US
dc.titlePass-through of exchange rates to consumption prices: What has changed and whyen_US
dc.typeWorking Paperen_US
dc.identifier.ppn519350189en_US
dc.rightshttp://www.econstor.eu/dspace/Nutzungsbedingungenen_US
Appears in Collections:Staff Reports, Federal Reserve Bank of New York

Files in This Item:
File Description SizeFormat
519350189.pdf136.83 kBAdobe PDF
No. of Downloads: Counter Stats
Show simple item record
Download bibliographical data as: BibTeX

Items in EconStor are protected by copyright, with all rights reserved, unless otherwise indicated.