Cite JOURNAL ARTICLE
Flexible Wechselkurse, keynesianische Modelle und terms of trade-Effekte. Ein weiterer Kommentar nicht nur zu Roth
Journal of Contextual Economics – Schmollers Jahrbuch, Vol. 99 (1979), Iss. 3 : pp. 355–370
Both in the models of open economies of Laursen and Metzler and Sohmen changes in the foreign exchange rate cause terms of trade-effects that again entail reactions of the level of income in the economy under consideration. The different effects are laid down and their respective importance is evaluated. In addition, it is investigated whether the models do contain those effects or, by neglecting them, might lead to serious misinterpretations. On that basis I reply to some critical comments as to my former treatment of the subject.