TY  - JOUR
AU  - Morrison,Catherine J.
AU  - Diewert,W.E.
TI  - Productivity Growth and Changes in the Terms of Trade in Japan and the  U.S.
JF  - National Bureau of Economic Research Working Paper Series
VL  - No. 1848
PY  - 1987
Y2  - November 1987
UR  - http://www.nber.org/papers/w1848
L1  - http://www.nber.org/papers/w1848.pdf
N1  - Author contact info:
Catherine J. Morrison
Department of Agricultural Economics
UC, Davis
Davis, CA  95616
Tel: 617/381-3560
E-Mail: no email available

W. Erwin Diewert
Department of Economics
University of British Columbia
#997-1873 East Mall
Vancouver, BC  V6T 1Z1
CANADA
Tel: 604/822-2544
Fax: 604/822-5915
E-Mail: diewert@econ.ubc.ca
AB  - In this paper we employ a recently proposed procedure (Dlewert and Morrison[1985]) for adjusting real domestic product and productivity for changes in a country's terms of trade. We apply this procedure to a comparison of two major industrialized countries, the U.S. and Japan. The approach is based on assessing the impact on, alternatively, production or final sales to domestic purchasers, of changes in terms of trade and the balance of payments deficit in a consistent accounting framework. This treatment of international trade allows for comparative statics analysis based only on production theory. The comparison is carried out for a relatively open economy, Japan, with an economy that may not be as vulnerable to terms of trade changes, the U.S. for the years 1967 to 1982.
ER  -