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Terms of trade, exchange rates and labor markets adjustment in developing countries (Английский)

The purpose of this paper is to present an analysis of the interaction between terms of trade changes, exchange rates (broadly defined) and labor markets in developing countries. This paper uses three models of a small open economy to analyze the effects. First, a three goods (exportables, importables, non-tradables), four factors model is developed and used to investigate how an exogenous worsening of the international terms of trade affect labor...
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