Publications by Year: Working Paper

Working Paper
Chodorow-Reich, Gabriel, Gita Gopinath, Prachi Mishra, and Abhinav Narayanan. Working Paper. “Cash and the Economy: Evidence from India's Demonetization”.
Under revision for the Quarterly Journal of Economics
Cavallo, Alberto, Gita Gopinath, Brent Neiman, and Jenny Tang. Working Paper. “Tariff Passthrough at the Border and at the Store: Evidence from US Trade Policy”. Abstract
We use data collected at the border and at retailers to characterize the impact of recent changes in US trade policy on importers, consumers, and exporters. We start by studying the tariffs on imports of steel and Chinese goods that were imposed during 2018. We find little difference in the "at-the-dock" ex-tariff price levels and stickiness for otherwise equivalent goods that were affected and not affected. This nearly complete passthrough of tariffs to the total price paid by importers suggests the tariffs incidence has fallen largely on the US. We simultaneously estimate exchange rate passthrough and find the response to be far more muted. Next, in-progress analyses of retail prices preliminarily show more heterogeneity, with the higher cost of imports passed through to consumers for some goods, such as washing machines, but absorbed by lower retailer profit margins for others, such as many from China. Finally, in contrast to imports, US exports subjected to retaliatory tariffs exhibited declines in their ex-tariff prices relative to equivalent but non-targeted goods.
Gopinath, Gita, and Jeremy Stein. Working Paper. “Banking, Trade and the Making of a Dominant Currency”.
Under revision for the Quarterly Journal of Economics