@article{Arruda_Castelar_Martins_2021, title={THE J CURVE AND THE MARSHALL-LERNER CONDITION:: EVIDENCE FOR NET EXPORTS IN THE SOUTHERN REGION OF BRAZIL}, url={//www.ipea.gov.br/ppp/index.php/PPP/article/view/845}, abstractNote={<p>This work analyzes the occurrence of the J-Curve and the validity of the Marshall-Lerner condition for the trade balance for the Southern region of Brazil, using monthly data between January 1999 and July 2013, and error correction vectors. In all of the considered models, the response to net exports in the south of Brazil to an exchange rate devaluation is shown to be positive and elastic, validating, thus, the Marshall-Lerner condition. This response is greater for manufactured goods. As described by the theoretical model, domestic income presents a negative and statistically robust impact on the trade balance, while foreign income presents a positive effect. The results points to the non-occurrence of the J-Curve phenomenon.</p>}, number={52}, journal={Planejamento e Políticas Públicas}, author={Arruda, Elano Ferreira and Castelar, Pablo Urano de Carvalho and Martins, Gabriel}, year={2021}, month={nov.} }