Naknoi

Professor Naknoi publishes in Canadian Journal of Economics

Canadian Journal of EconomicsProfessor Kanda Naknoi published a sole-authored article in the February 2017 issue of the Canadian Journal of Economics.

The title of her article is “Real Exchange Rate Fluctuations, Wage Stickiness and Tradability

Abstract: When we classify factors of production by their tradability, the relative wage of nontraded labour influences the real exchange rate through the relative cost of distribution services. We confirm this prediction using monthly data on the sector-level US–Canada real exchange rate and the relative wage of service-producing labour. The relative wage accounts for 40% of the variability of the real exchange rate at a one-month horizon. Furthermore, when we use the effective nontraded labour content to classify goods into nontraded and traded ones, the variability of the price of the nontraded-goods basket accounts for more than half of the variability of the real exchange rate.

Econ Undergraduate Students Present at the NY and Boston Fed Challenges

Stamford Econ Undergraduates Present at NY Fed ChallengeCongratulations to the undergraduate students from the Stamford and Storrs campuses who took part in the College Fed Challenge this month!

Sponsored by the Board of Governors of the Federal Reserve, the “College Fed Challenge is a team competition for undergraduate students. Teams analyze economic and financial conditions and formulate a monetary policy recommendation, modeling the Federal Open Market Committee.”

The Stamford team (above left) participated in the NY Fed Challenge, competing against forty-one other schools.

The Storrs team (below right) presented at the Boston Fed Challenge, competing against twenty-four other New England schools.

Storrs Econ Undergraduates Present at Boston Fed ChallengeCongratulations to both teams on all of their hard work in this competition!

Stamford Team:

Joanna Ksiazek
Chris McLaughlin
Amir Parikh
Shrey Patel
Alex Rojas
Ravinder Singh
Dr. Julia Coronado (Advisor)
Professor Oskar Harmon (Advisor)
Professor Steven Lanza (Advisor)
Professor Kanda Naknoi (Advisor)

Storrs Team:

Patrick Adams
Matt DeLeon
Erik Eason
Gabriel Hack
Ed Leardi
Stephen Mwangi
Matt Regan
Joe Roessler
Professor Owen Svalestad (Advisor)

Professor Naknoi Presents Paper at Vanderbilt

naknoiProfessor Naknoi presented her paper titled “Tariffs and the Expansion of the American Pig Iron Industry, 1870-1940” in the International Economics Seminar at Vanderbilt University on April 8, 2016.

Her study examines the benefit of the protection of the American pig iron industry. She illustrates that the protection was critical for the industry before 1890.

See the details of her study at:

https://dl.dropboxusercontent.com/u/11725878/iron_www.pdf

Professor Naknoi Presents Paper at ASSA

naknoiProfessor Naknoi presented her paper titled “Exchange Rate Pass-Through and Market Structure in a Multi-Country World” in the ASSA Meeting/Econometric Society Meeting in San Francisco on January 4, 2016.

Her model proposes a theory that exporters take into account competing exporters’ currency appreciation in their price setting. In addition, her study provides evidence supporting her theory using data on prices of Canada’s exports to the U.S.

Information about her session is online at:

https://www.aeaweb.org/aea/2016conference/program/preliminary.php

Professor Naknoi Publishes in the Canadian Journal of Economics

Canadian Journal of EconomicsProfessor Naknoi’s paper titled “Real Exchange Rate Fluctuations, Wage Stickiness and Tradability” has been accepted for publication in the Canadian Journal of Economics.

Her study demonstrates that when factors of production is classified by their tradability, the relative wage of nontraded labor influences the real exchange rate through the relative cost of distribution services. She employs monthly data on the sector-level U.S.-Canada real exchange rate and the relative wage of service-producing labor. The relative wage accounts for 40% of the variability of the real exchange rate at a one-month horizon.

Furthermore, she constructs a measure of effective nontraded labor content to classify goods into nontraded and traded ones, and shows that the variability of the price of the nontraded-goods basket accounts for more than half of the variability of the real exchange rate.