As are all import prices.
Figure 1: Log import prices of non-petroleum goods (blue), and of goods imports from China (red), all normalized to 2014M06=0. Source: BLS via FRED, author’s calculations.
Category Archives: international
US Financial Conditions and Emerging Market Stress: The Outlook
From NYT:
…around the globe, the surge in the dollar is provoking financial jitters.
Emerging market countries and corporations that have been binging on cheap dollar debt for more than a decade now face a spike in servicing costs and elevated debt burdens.
Raise the Yuan! Implications for the Treasury Spread
Some back-of-the-envelope calculations: If we get what President Elect Trump says he wants — no depreciation of the yuan — what happens to the Treasury 10 year-3 month spread?
President Elect Trump Hints at Bretton Woods III
Via Twitter, yesterday afternoon:
Factors in low real interest rates
The real return on long-term government bonds has dropped steadily over the last 30 years, falling from values around 4% to something closer to zero or even negative for many countries today. What accounts for this remarkable development, and what are the prospects for this situation to continue?
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Guest Contribution: “Shadow Rates, Forward Guidance, and Unconventional Monetary Policy”
Today we are pleased to present a guest contribution by Yi Zhang, Ph.D. candidate at the University of Wisconsin-Madison. This post draws upon this paper.
The “Deindustrialization of America”, in Pictures
From Donald J. Trump, March 14, 2016:
…under decades of failed leadership, the United States has gone from being the globe’s manufacturing powerhouse — the envy of the world — through a rapid deindustrialization…
Links for 2016-11-13
Three papers of interest on the effects of U.S. trade policy on manufacturing employment, racial discrimination, and the Chinese real estate boom.
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“Gaining Currency: The Rise of the Renminbi”
That’s the title of a newly released book written by Eswar Prasad, an authority on the Chinese economy (and international finance).
Guest Contribution: “Is the Renminbi a Safe Haven?”
Today, we are fortunate to present a guest contribution written by Rasmus Fatum, at the University of Alberta. This post is based upon the Dallas Fed working paper by the same title.