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set of the cointegration models to examine their macroeconomic determinants. Design/methodology/approach Linear and … in weaker evidence for cointegration of all variables in certain sectors. Research limitations/implications This study … with the USA, which have not been studied in such a context so far. A strong point is a broad methodology that lets compare …
Persistent link: https://www.econbiz.de/10014552926
The US dollar is the most prevalent currency to settle internationally traded merchandise. A few existing studies demonstrate that the US dollar can significantly impact a country's trade balance with a non-US partner. Nevertheless, the current literature indicates the remarkable deficiency of...
Persistent link: https://www.econbiz.de/10014503318
Background An econometric analysis of the twin deficit hypothesis is of special importance for the Republic of North Macedonia in view of its perspective membership in the European Union and from the point of view of its macroeconomic stability in the long run. Objectives The objective of this...
Persistent link: https://www.econbiz.de/10012414405
The goal of this paper is to address the role of the real effective exchange rate (fundamentals, misalignment and volatility) for the current account using a panel data analysis for a set of 58 countries, over the period of 1994-2014. The results suggest that exchange rate misalignment is...
Persistent link: https://www.econbiz.de/10012287467
This study strengthens the frontiers of research on the drivers of dollarization in emerging economies by exploring the case of Ghana using the autoregressive distributed lag modelling framework. The data for the study spanned from January 2002 to March 2016. The evidence suggests that...
Persistent link: https://www.econbiz.de/10014232353
This paper offers an empirical characterization of the relation between the international price of oil and exchange rates that is both useful and reliable. Our characterization is useful because it rests on information of asset prices that are determined in functioning asset markets. Our...
Persistent link: https://www.econbiz.de/10012322360
The U.S. real effective exchange rate is at its highest level since 1985. In that year, the U.S. and its trading partners coordinated a depreciation of the dollar and the U.S. agreed to reduce its budget deficit. This paper reports that a dollar depreciation today would still improve U.S. trade...
Persistent link: https://www.econbiz.de/10014413932
This study researches the effects of changes in the exchange rate on the trade balance after the transition to the floating exchange rate in the Turkish economy. For this purpose, ARDL and ECM models have been developed by using quarterly data from 2003 through 2018. The starting point of the...
Persistent link: https://www.econbiz.de/10012210658
This study examines the J-Curve phenomenon of a developing country for the case of Ghana and its major trade partners: Switzerland (Swiss) and China. Using quarterly bilateral data from Q1-1995 to Q4-2018 to investigate the impact of currency depreciation on the bilateral trade balance in the...
Persistent link: https://www.econbiz.de/10013461417
Somalia has been a stateless nation for over two decades, where government institutions have been destroyed and malfunctioned, including the central bank. Consequently, this ruled out the control and regulation of the money supply and exchange rate by the central bank. This study investigates...
Persistent link: https://www.econbiz.de/10015192670