Decomposing the Great Trade Collapse : Products, Prices, and Quantities in the 2008–2009 Crisis
The authors identifies a new set of stylized facts on the 2008-2009 trade collapse that they hope can be used to shed light on the importance of demand and supply-side factors in explaining the fall in trade. In particular, they decompose the fall...
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| Format: | Policy Research Working Paper |
| Language: | English |
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2012
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| Online Access: | http://www-wds.worldbank.org/external/default/main?menuPK=64187510&pagePK=64193027&piPK=64187937&theSitePK=523679&menuPK=64187510&searchMenuPK=64187283&siteName=WDS&entityID=000158349_20110803085326 http://hdl.handle.net/10986/3511 |
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okr-10986-35112021-04-23T14:02:10Z Decomposing the Great Trade Collapse : Products, Prices, and Quantities in the 2008–2009 Crisis Haddad, Mona Harrison, Ann Hausman, Catherine AGGREGATE DEMAND AVERAGE PRICE BEHAVIOR OF PRICES CASH FLOW COMMODITIES COMMODITY COMMODITY EXPORTS COMMODITY PRICES CONSUMER PRICE CONSUMER PRICE INDICES CREDIT CONSTRAINTS CURRENCY DEFLATORS DEVELOPING COUNTRIES DEVELOPMENT ECONOMICS DEVELOPMENT POLICY DIFFERENTIATED GOODS DOLLAR VALUES ECONOMIC CRISIS EXCHANGE RATES EXPORTS EXTERNAL FINANCE FINANCIAL CONSTRAINTS FINANCIAL CRISIS FINANCIAL INSTRUMENTS FINANCIAL MARKETS FIXED COSTS GDP GLOBALIZATION GROSS VALUE HOMOGENOUS GOODS INCOME INCOME LEVELS INTERNATIONAL TRADE LOW-INCOME COUNTRIES MACROECONOMIC CONDITIONS NEW PRODUCT NEW PRODUCTS PRICE CHANGES PRICE DECLINES PRICE EFFECT PRICE INCREASE PRICE INCREASES PRICED PROTECTIONISM REAL EXCHANGE RATES SUBSTITUTES SUPPLY CHAIN SUPPLY CHAINS SUPPLY SHOCK SUPPLY SHOCKS TRADE FINANCE TROUGH TURNOVER VOLATILITY WARES WORLD TRADE The authors identifies a new set of stylized facts on the 2008-2009 trade collapse that they hope can be used to shed light on the importance of demand and supply-side factors in explaining the fall in trade. In particular, they decompose the fall in international trade into product entry and exit, price changes, and quantity changes for imports by Brazil, the European Union, Indonesia, and the United States. When the authors aggregate across all products, most of the countries analyzed experienced a decline in new products, a rise in product exit, and falls in quantity for product lines that continued to be traded. The evidence suggests that the intensive rather than extensive margin mattered the most, consistent with studies of other countries and previous recessionary periods. On average, quantities declined and prices fell. However, these average effects mask enormous differences across different products. Price declines were driven primarily by commodities. Within manufacturing, while most quantity changes were negative, in most cases price changes moved in the opposite direction. Consequently, within manufacturing, there is some evidence consistent with the hypothesis that supply side frictions played a role. For the United States, price increases were most significant in sectors which are typically credit constrained. 2012-03-19T18:03:48Z 2012-03-19T18:03:48Z 2011-08-01 http://www-wds.worldbank.org/external/default/main?menuPK=64187510&pagePK=64193027&piPK=64187937&theSitePK=523679&menuPK=64187510&searchMenuPK=64187283&siteName=WDS&entityID=000158349_20110803085326 http://hdl.handle.net/10986/3511 English Policy Research working paper ; no. WPS 5749 CC BY 3.0 IGO http://creativecommons.org/licenses/by/3.0/igo/ World Bank Publications & Research :: Policy Research Working Paper Europe Indonesia United States Brazil |
| repository_type |
Digital Repository |
| institution_category |
Foreign Institution |
| institution |
Digital Repositories |
| building |
World Bank Open Knowledge Repository |
| collection |
World Bank |
| language |
English |
| topic |
AGGREGATE DEMAND AVERAGE PRICE BEHAVIOR OF PRICES CASH FLOW COMMODITIES COMMODITY COMMODITY EXPORTS COMMODITY PRICES CONSUMER PRICE CONSUMER PRICE INDICES CREDIT CONSTRAINTS CURRENCY DEFLATORS DEVELOPING COUNTRIES DEVELOPMENT ECONOMICS DEVELOPMENT POLICY DIFFERENTIATED GOODS DOLLAR VALUES ECONOMIC CRISIS EXCHANGE RATES EXPORTS EXTERNAL FINANCE FINANCIAL CONSTRAINTS FINANCIAL CRISIS FINANCIAL INSTRUMENTS FINANCIAL MARKETS FIXED COSTS GDP GLOBALIZATION GROSS VALUE HOMOGENOUS GOODS INCOME INCOME LEVELS INTERNATIONAL TRADE LOW-INCOME COUNTRIES MACROECONOMIC CONDITIONS NEW PRODUCT NEW PRODUCTS PRICE CHANGES PRICE DECLINES PRICE EFFECT PRICE INCREASE PRICE INCREASES PRICED PROTECTIONISM REAL EXCHANGE RATES SUBSTITUTES SUPPLY CHAIN SUPPLY CHAINS SUPPLY SHOCK SUPPLY SHOCKS TRADE FINANCE TROUGH TURNOVER VOLATILITY WARES WORLD TRADE |
| spellingShingle |
AGGREGATE DEMAND AVERAGE PRICE BEHAVIOR OF PRICES CASH FLOW COMMODITIES COMMODITY COMMODITY EXPORTS COMMODITY PRICES CONSUMER PRICE CONSUMER PRICE INDICES CREDIT CONSTRAINTS CURRENCY DEFLATORS DEVELOPING COUNTRIES DEVELOPMENT ECONOMICS DEVELOPMENT POLICY DIFFERENTIATED GOODS DOLLAR VALUES ECONOMIC CRISIS EXCHANGE RATES EXPORTS EXTERNAL FINANCE FINANCIAL CONSTRAINTS FINANCIAL CRISIS FINANCIAL INSTRUMENTS FINANCIAL MARKETS FIXED COSTS GDP GLOBALIZATION GROSS VALUE HOMOGENOUS GOODS INCOME INCOME LEVELS INTERNATIONAL TRADE LOW-INCOME COUNTRIES MACROECONOMIC CONDITIONS NEW PRODUCT NEW PRODUCTS PRICE CHANGES PRICE DECLINES PRICE EFFECT PRICE INCREASE PRICE INCREASES PRICED PROTECTIONISM REAL EXCHANGE RATES SUBSTITUTES SUPPLY CHAIN SUPPLY CHAINS SUPPLY SHOCK SUPPLY SHOCKS TRADE FINANCE TROUGH TURNOVER VOLATILITY WARES WORLD TRADE Haddad, Mona Harrison, Ann Hausman, Catherine Decomposing the Great Trade Collapse : Products, Prices, and Quantities in the 2008–2009 Crisis |
| geographic_facet |
Europe Indonesia United States Brazil |
| relation |
Policy Research working paper ; no. WPS 5749 |
| description |
The authors identifies a new set of
stylized facts on the 2008-2009 trade collapse that they
hope can be used to shed light on the importance of demand
and supply-side factors in explaining the fall in trade. In
particular, they decompose the fall in international trade
into product entry and exit, price changes, and quantity
changes for imports by Brazil, the European Union,
Indonesia, and the United States. When the authors aggregate
across all products, most of the countries analyzed
experienced a decline in new products, a rise in product
exit, and falls in quantity for product lines that continued
to be traded. The evidence suggests that the intensive
rather than extensive margin mattered the most, consistent
with studies of other countries and previous recessionary
periods. On average, quantities declined and prices fell.
However, these average effects mask enormous differences
across different products. Price declines were driven
primarily by commodities. Within manufacturing, while most
quantity changes were negative, in most cases price changes
moved in the opposite direction. Consequently, within
manufacturing, there is some evidence consistent with the
hypothesis that supply side frictions played a role. For the
United States, price increases were most significant in
sectors which are typically credit constrained. |
| format |
Publications & Research :: Policy Research Working Paper |
| author |
Haddad, Mona Harrison, Ann Hausman, Catherine |
| author_facet |
Haddad, Mona Harrison, Ann Hausman, Catherine |
| author_sort |
Haddad, Mona |
| title |
Decomposing the Great Trade Collapse : Products, Prices, and Quantities in the 2008–2009 Crisis |
| title_short |
Decomposing the Great Trade Collapse : Products, Prices, and Quantities in the 2008–2009 Crisis |
| title_full |
Decomposing the Great Trade Collapse : Products, Prices, and Quantities in the 2008–2009 Crisis |
| title_fullStr |
Decomposing the Great Trade Collapse : Products, Prices, and Quantities in the 2008–2009 Crisis |
| title_full_unstemmed |
Decomposing the Great Trade Collapse : Products, Prices, and Quantities in the 2008–2009 Crisis |
| title_sort |
decomposing the great trade collapse : products, prices, and quantities in the 2008–2009 crisis |
| publishDate |
2012 |
| url |
http://www-wds.worldbank.org/external/default/main?menuPK=64187510&pagePK=64193027&piPK=64187937&theSitePK=523679&menuPK=64187510&searchMenuPK=64187283&siteName=WDS&entityID=000158349_20110803085326 http://hdl.handle.net/10986/3511 |
| _version_ |
1764387120745545728 |