Currency depreciation is said to worsen the trade balance before improving it, hence the J-curve phenomenon. Since introduction of cointegration and error-correction modelling, researchers have tried to distinguish the short-run effects of currency depreciation from its long-run effects. A few...

Currency devaluation or depreciation is said to temporarily worsen a country's trade balance and improve it later, an effect that is called the J-Curve. Previous research that tested the J-Curve for Brazil used the country's aggregate trade flows with the rest of the world and did not find...

In an attempt to assess the impact of currency depreciation on the trade balance, recent studies are employing disaggregated trade data to avoid aggregation bias. However, since import and export prices are not available at disaggregated level, recent studies are using export and import values...

Previous studies that assessed the impact of currency depreciation on inpayments and outpayments of Indonesia with her major trading partners did not find much significant results, especially in the trade with the United States. We wonder whether insignificant link between the real rupiah-dollar...

The North American Free Trade Agreement (NAFTA) was predicted to have a substantial impact on the US-Mexico trade, especially on specific importing and exporting industries. In this article, we use annual industry-level export and import data from 1962 to 2004 to discern both the short- and...

Indexes of real and nominal effective exchange rates that are published by the IMF, are mostly for industrial countries. None of the Middle Eastern countries have received any attention on this regard. This paper tries to close the gap by constructing such indexes for 11 middle eastern countries...

This study employs Johansen's cointegration technique to determine the long-run relationship between exchange value of the DM and German production. It is shown that depreciation of the DM has a long-run expansionary impact on German production. This conclusion is based on a new method of...

Previous studies that investigated the impact of exchange rate volatility on the trade flows, employed official exchange rate data to construct a measure of exchange rate uncertainty. In this paper we show that in countries that there is a black market for foreign exchange, the black market...

Previous studies that investigated the effects of exchange rate uncertainty on the trade flows of Sweden employed aggregate trade data either between Sweden and the rest of the world or at bilateral level between Sweden and her major trading partners. In this article, we disaggregate the trade...