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Aa OpenEconomy Model with 1mport of the Final Consumer Goods
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aggregate assumption Bank of Korea cffcct change-rate Chapter cost currency price current account deficit determinants domestic currency domestic inflation Effect of Devaluation effective exchange rate endogenous variables equation equilibrium estimated coefficients exchange rate changes exchange-rate pass-through exchange-rate policy exogenous increase export and import export industries export prices exportable sector full pass-through home country's imperfect competition imported intermediate improve the trade income effect inflation rate Korea's export mark-up price monetarist monetary Mundell-Fleming model NEER nominal devaluation nominal effective exchange nominal exchange rate nominal exchange-rate changes non-traded goods sector open-economy output pass-through effect pass-through to export pass-through to PX pereent level price competitiveness price elasticity price of exports production real appreciation real exchange rate real income REER regression models regressor relative price researeh rise short run significant Souree substitution effect T-T line terms of trade tradable trade balance U.S. dollar zero pass-through