This paper examines the exchange rate effects of monetary policy shocks in New Zealand in the framework of the international monetary transmission mechanism. The model variables are suggested by a hybrid New Open Economy Macroeconomic (NOEM) model. Our empirical analysis indicates plausible...

This study extends the literature relating to the influence of weather on security returns by examining the influence of four facets of the local weather on the change in New Zealand's Trade-Weighted Foreign Exchange Rate Index (TWI). The TWI is not influenced by the level of wind in the two...

We estimate a Factor Augmented Vector autoregression (FAVAR) to identify idiosyncratic exchange rate shocks and examine the effects of these shocks on different sectors of the economy. We find that an unexpected shock to the exchange rate has significant effects on the tradable sector of the...