International macro reading list

This reading list is a continual work in progress. If you see mistakes, citations that need updates, or have suggested additions please send them my way.  


Business cycle properties

Backus, D. K. and Kehoe, P. J. (1992). International evidence on the historical properties of business cycles. The American Economic Review, 82:864-888.

Baxter, M. and Stockman, A. C. (1989). Business cycles and the exchange-rate regime: some international evidence. Journal of monetary Economics, 23(3):377-400.

Cooley, T. and Prescott, E. C. (1995). Economic growth and business cycles. In Cooley, T., editor, Frontiers of Business Cycle Research. Princeton University Press.

Heathcote, J. and Perri, F. (2013). Assessing international efficiency. Technical Report 18956, National Bureau of Economic Research.

Imbs, J. (2010). The first global recession in decades. IMF economic review, 58(2):327-354.


Small open economy models

Aguiar, M. and Gopinath, G. (2007). Emerging market business cycles: The cycle is the trend. Journal of Political Economy, 115(1).

Alessandria, G., Pratap, S., and Yue, V. Z. (2013). Export dynamics in large devaluations. Unpublished Manuscript.

Chang, R. and Fernández, A. (2013). On the sources of aggregate fluctuations in emerging economies. International Economic Review, 54(4):1265-1293.

Garcia-Cicco, J., Pancrazi, R., and Uribe, M. (2010). Real business cycles in emerging countries? The American economic review, 100(5):2510-2531.

Justiniano, A. and Preston, B. (2010). Can structural small open-economy models account for the influence of foreign disturbances? Journal of International Economics, 81(1):61-74.

Mendoza, E. G. (1991). Real business cycles in a small open economy. The American Economic Review, pages 797-818.

Mendoza, E. G. (1995). The terms of trade, the real exchange rate, and economic fluctuations. International Economic Review, pages 101-137.

Mendoza, E. G. (2010). Sudden stops, financial crises, and leverage. The American Economic Review, 100(5):1941-1966.

Rothert, J. (2015). International business cycles in emerging markets. Unpublished Manuscript.

Schmitt-Grohé, S. and Uribe, M. (2003). Closing small open economy models. Journal of international Economics, 61(1):163-185.


International real business cycles

Alessandria, G., Kaboski, J., and Midrigan, V. (2013). Trade wedges, inventories, and international business cycles. Journal of Monetary Economics, 60(1):1-20.

Backus, D., Kehoe, P. J., and Kydland, F. (1995). International real business cycles: Theory and evidence. In Cooley, T., editor, Frontier of Business Cycle Research, pages 331-356. Princeton University Press.

Backus, D. K., Kehoe, P. J., and Kydland, F. E. (1994). Dynamics of the trade balance and the terms of trade: The J-curve? American Economic Review, 84(1):84-103.

Bodenstein, M. (2008). International asset markets and real exchange rate volatility. Review of Economic Dynamics, 11(3):688-705.

Bodenstein, M. (2011). Closing large open economy models. Journal of International Economics, 84(2):160-177.

Gourinchas, P.-O. and Rey, H. (2007). International financial adjustment. Journal of political economy, 115(4):665-703.

Kehoe, P. J. and Perri, F. (2002). International business cycles with endogenous incomplete markets. Econometrica, 70(3):907-928.


Trade and international business cycles

Alessandria, G. and Choi, H. (2007). Do sunk costs of exporting matter for net exports dynamics? Quarterly Journal of Economics, 122(1):289-336.

Alessandria, G., Kaboski, J. P., and Midrigan, V. (2010). The great trade collapse of 2008-09: An inventory adjustment? IMF Economic Review, 58(2):254-294.

Alessandria, G., Kaboski, J. P., and Midrigan, V. A. (2011). Us trade and inventory dynamics. The American Economic Review, 101(3):303-307.

Boileau, M. (1999). Trade in capital goods and the volatility of net exports and the terms of trade. Journal of international Economics, 48(2):347-365.

Boileau, M. (2002). Trade in capital goods and investment-specific technical change. Journal of Economic Dynamics and Control, 26(6):963-984.

Chari, V. V., Kehoe, P. J., and McGrattan, E. R. (2007). Business cycle accounting. Econometrica, 75(3):781-836.

Engel, C. and Wang, J. (2011). International trade in durable goods: Understanding volatility, cyclicality, and elasticities. Journal of International Economics, 83(1):37-52.

Imbs, J. and Mejean, I. (2009). Elasticity optimism. CEPR Discussion Papers 7177, C.E.P.R. Discussion Papers.

Imura, Y. (2016). Endogenous trade participation with price rigidities. Journal of International Economics, 100:14-33.

Johnson, R. C. (2014). Trade in intermediate inputs and business cycle comovement. American Economic Journal: Macroeconomics, 6(4):39-83.

Levchenko, A. A., Lewis, L. T., and Tesar, L. L. (2010). The collapse of international trade during the 2008-09 crisis: in search of the smoking gun. IMF Economic review, 58(2):214-253.

Raffo, A. (2008). Net exports, consumption volatility and international business cycle models. Journal of International Economics, 75(1):14-29.

Ruhl, K. J. (2008). The international elasticity puzzle. Unpublished manuscript.

Yilmazkuday, H. (2013). The great trade collapse: A horse race of competing stories. Unpublished Manuscript.


International prices: The big picture

Burstein, A. and Gopinath, G. (2014). International prices and exchange rates. In Gopinath, G., Helpman, E., and Rogoff, K., editors, Handbook of International Economics, volume 4, pages 391-451. Elsevier B.V.

Drozd, L. and Nosal, J. (2012). Pricing to market in business cycle models. FRB Philadelphia.

Engel, C. and Rogers, J. H. (1996). How wide is the border? The American Economic Review, 86(5):1112-1125.

Goldberg, P. K. and Knetter, M. M. (1997). Goods prices and exchange rates: What have we learned? Journal of Economic Literature, 35(3):1243-1272.


Pricing to market: Static models

Alessandria, G. (2009). Consumer search, price dispersion, and international relative price fluctuations. International Economic Review, 50(3):803-829.

Alessandria, G. and Kaboski, J. P. (2011). Pricing-to-market and the failure of absolute ppp. American Economic Journal: Macroeconomics, 3(1):91-127. [ http ]

Atkeson, A. and Burstein, A. (2008). Pricing-to-market, trade costs, and international relative prices. The American Economic Review, 98(5):1998-2031. [ http ]

Behrens, K., Mion, G., Murata, Y., and Südekum, J. (2014). Trade, wages, and productivity. International Economic Review, 55(4):1305-1348.

Berman, N., Martin, P., and Mayer, T. (2012). How do different exporters react to exchange rate changes? The Quarterly Journal of Economics, 127(1):437-492.

Burstein, A., Eichenbaum, M., and Rebelo, S. (2005). Large devaluations and the real exchange rate. Journal of Political Economy, 113(4):742-784. [ http ]

Corsetti, G. and Dedola, L. (2005). A macroeconomic model of international price discrimination. Journal of International Economics, 67(1):129-155.

Dornbusch, R. (1987). Exchange rates and prices. The American Economic Review, 77(1):93-106. [ http ]

Gopinath, G., Gourinchas, P.-O., Hsieh, C.-T., and Li, N. (2011). International prices, costs, and markup differences. The American Economic Review, 101(6):2450-2486.

Simonovska, I. (2015). Income differences and prices of tradables: Insights from an online retailer. The Review of Economic Studies, 82(4):1612-1656.