Arouri, Mohamed; Dar, Arif Billah; Bhanja, Niyati; … - Institut de Préparation à l'Administration et à la … - 2014
The study analyzes the dynamic interlinkage between India’s real effective exchange rate and real current account deficit using standard VAR and structural VAR (SVAR). The empirical analysis suggests that a real currency appreciation leads to an improvement in the current account deficit,...