Year: 2014
Author: Nusair, Salah A.
Applied Economics Quarterly, Vol. 60 (2014), Iss. 3 : pp. 215–251
Abstract
This paper examines the effects of changes in the real effective exchange rate on output for sixteen transition economies using cointegration tests with quarterly data. In addition, impulse response and variance decomposition analyses are also used to identify the significance of the real effective exchange rate, money supply, fiscal policy, and foreign income on output. The results suggest that devaluation is expansionary in the long-run in Estonia, Georgia, Russia, Ukraine, Poland, Romania and Slovakia; contractionary in Latvia, Lithuania, Armenia, Moldova, Croatia, the Czech Republic, Hungary and Slovenia; and has no long-run effect on output in Bulgaria. In addition, monetary and fiscal policies and foreign income seem to be important determinants of the long-run level of output in most of the cases.
JEL Classification: F31, F33
You do not have full access to this article.
Already a Subscriber? Sign in as an individual or via your institution
Journal Article Details
Publisher Name: Global Science Press
Language: English
DOI: https://doi.org/10.3790/aeq.60.3.215
Applied Economics Quarterly, Vol. 60 (2014), Iss. 3 : pp. 215–251
Published online: 2014-09
AMS Subject Headings: Duncker & Humblot
Copyright: COPYRIGHT: © Global Science Press
Pages: 37
Author Details
-
The Asymmetric Effects of Exchange Rate Changes on Output: Evidence from Asian Countries
Nusair, Salah A.
The International Trade Journal, Vol. 36 (2022), Iss. 4 P.324
https://doi.org/10.1080/08853908.2021.1940392 [Citations: 1] -
Test of a quadratic relationship between aggregate output and government debt in Hungary
Hsing, Yu
The European Journal of Applied Economics, Vol. 15 (2018), Iss. 1 P.38
https://doi.org/10.5937/EJAE15-15684 [Citations: 0] -
The J-Curve phenomenon in European transition economies: A nonlinear ARDL approach
Nusair, Salah A.
International Review of Applied Economics, Vol. 31 (2017), Iss. 1 P.1
https://doi.org/10.1080/02692171.2016.1214109 [Citations: 108]