The South African exchange rate has been volatile in recent years affecting the competitiveness of commodities in the market. Consequently, South African agricultural exporters have faced lower profitability or entire losses. More South Africa is among the top agricultural exporters in Africa....

We employ Synthetic Control Method techniques to estimate the causal effect of Brexit on the consumer price index (CPI) in the United Kingdom. We construct a counterfactual CPI index from a weighted pool of comparable economies and find that the price level of the United Kingdom rose...

This paper explores the central role of monetary governance, i.e., high politics and low politics, in protecting a currency's exchange rate and reducing its volatility during periods of global crisis. Using annual panel data from 15 developed and emerging economies between 2001 and 2023, and...

The tourism industry is highly susceptible to global economic fluctuations and uncertainties. Understanding the asymmetric effects of macroeconomic factors on tourism demand is crucial for developing effective policies and strategies in the sector. This study examines the asymmetric impacts of...

This study expands the tourism development literature by examining how currency valuation and financial sector maturity influence the tourism-growth relationship. While prior research emphasizes direct or bidirectional causality, this study distinguishes itself by exploring the mediating and...

Corporate taxation assumes a pivotal role in all economies, as it constitutes a substantial source of revenue for governmental agencies tasked with fulfilling social obligations. Nonetheless, modifications in financial policies and the unpredictability of macroeconomic factors result in a...

We aim to show how any variants of a unified currency among BRICS Plus countries are challengeable, by probing the disparate influence of the positive and negative alterations in the crude oil's international price on the real effective exchange rates. The paper applies the nonlinear...

This study compared standard VAR, SVAR with short-run restrictions, and SVAR with long-run restrictions to investigate the effects of oil price shocks and the foreign exchange rate (ZAR/USD) on consumer prices in South Africa after the 2008 financial crisis. The standard VAR model revealed that...

A new mathematical structural model of the exchange rate and a new nonlinear multifactorial dependence of the exchange rate dynamics on a wide system of fundamental economic factors are the main results of the work. The model includes a wide system of economic factors based on the balance of...

The annual inflation rate in Sri Lanka accelerated to record levels in recent years, especially after the COVID-19 pandemic. Though the inflation rate had declined to pre-pandemic levels by mid-2024, it is of great importance to identify the factors that caused hyperinflation during the COVID-19...

In this paper, the Balassa-Samuelson-Tariffi effect is revisited. This research first aims to explain that the behaviour of the real exchange rate shows structural breaks in the short term. A partial equilibrium model "á la Rogoff" is formally formulated where there are relative prices of...

We delve into Venezuela's 2018-2019 hyperinflation episode to examine the policy constraints autocratic governments face during extreme economic distress. We develop a simple model that reflects dynamics in a segmented foreign exchange (FX) market and allows us to understand how media coverage...

We quantify the role of individual factors in shaping the domestic prices of selected grains and oilseeds in Poland and test the hypothesis of whether a favorable supply situation can isolate the domestic market from external shocks. We carried out estimations using error correction and local...

This paper examines the determinants of inflation differentials across member states of the African Economic Community (AEC). The results suggest that exchange rate depreciation, GDP per capita growth, price divergence, fiscal deficit, and periods of economic instability all contribute to higher...

This study investigates the impact of exchange rate fluctuations on non-performing loans (NPLs), using a unique bank-by-bank dataset on lending to FX hedged and FX unhedged borrowers. Employing fixed effects and panel quantile regression, we analyze how changes in exchange rate affect the NPL...

I estimate how monetary policy affects the exchange rate in Norway using a local projection instrumental variables (LP-IV) framework with high-frequency monetary policy surprises as instruments. I find that a surprise increase in the Norwegian policy interest rate leads to an immediate...

This paper explores the intricate relationship between profit rates, exchange rates, and terms of trade in the Brazilian economy from 2000 to 2023. Building on Weisskopf's (1979) decomposition of the profit rate, we demonstrate how exchange rates and terms of trade affect profit share, the...

This paper calculates the exchange rate pass through (ERPT) with time constant and time varying coefficients for Colombia between 2006 and 2023. It then estimates the ERPT during four specific depreciation events during the period of analysis: the 2008 financial crisis, the 2014-2016 fall in...

Understanding the impact of macroeconomic variables on China’s green bond market is crucial for developing effective policies and strategies that promote sustainable finance. This study examines the influence of economic policy uncertainty, financial market volatility, exchange rates, and...

The global order has been dominated by the two economic superpowers: the United States and China. This article attempts to identify the implications of the trade policy followed by the Group of Two1 (G2) for the USD/RMB exchange rate. In this quantitative study, we first estimate models...

Aim/purpose - This study explores the nexus between Foreign Direct Investment (FDI), trade openness, exchange rate, and Gross Domestic Product (GDP) per capita in Vietnam between 1986 and 2020. Design/methodology/approach - The Vector Error Correction Model (VECM) was used to evaluate the nexus...

Using a panel ARDL model, this study examines the relationship between stock prices and prices in other marketplaces. Examining data for 19 emerging market nations from January 2004 to December 2022, the study investigates how gold prices, interest rates, exchange rates, and inflation affect...

The performance of bank stocks exhibits a country's overall financial health and signals economic growth. Therefore, understanding the interaction of macroeconomic factors on bank stock returns is crucial for the valuation of financial assets, especially in a highly volatile stock market....