For the small open economy of Botswana the PPP theory is validated in both the absolute and relative version for the Pula-Dollar exchange rate during the sample period 1992 third quarter to 2002 fourth quarter. The Pula-Dollar exchange rate is determined by the long-term trends in Botswana’s...

Despite the extensive work on currency mismatches, research investigating the significance of maturity mismatches in emerging market economies is scarce. In particular, how capital flows affect maturity mismatches, and the significance of these mismatches for financial health during crisis and...

The objective of this paper is to analyze the external sector on Cuban tobacco from the export demand perspective towards the euro area. A tobacco-specific exchange rate is built to better capture the distinctions of this sector when competing overseas. We apply cointegration in the...

The present study re-estimated the import demand function for Pakistan on the basis of quarterly time series data by employing autoregressive distributed lag approach. The present study draws various significant conclusions from the estimation of aggregate merchandized import demand function....

The present study re-estimated the import demand function for Pakistan on the basis of quarterly time series data by employing autoregressive distributed lag approach. The present study draws various significant conclusions from the estimation of aggregate merchandized import demand function....

This paper uses two different criteria -- a set of macroeconomic indicators and the intertemporal model of the current account -- to examine the excessiveness and sustainability of Nigerian current account deficits over the period 1960-2003. Our analysis shows excessive reliance on oil revenues,...

This paper aims to assess the sustainability of the current account of Bangladesh over the period of 1982-2012 using the intertemporal solvency model of Hakkio and Rush (1991) and Husted (1992). This approach examines the relationship between exports and imports plus unilateral transfer...

Previous literature believes that a commercial depreciation is associated with higher financial premium and more depletion of foreign reserves. This study re-investigates this belief. Analytical results indicate that a commercial depreciation with higher financial premium and more depletion of...

Based on annual data spanning the period 1968 to 2000, this paper empirically tests the proposition that growth in Guyana's foreign debt burden contributed to increases in pressure in the country's foreign exchange market. After controlling for other factors that influence changes in foreign...

Instances of acute and sustained inflation pose a challenge in transition and developing economies, in particular as they tend to render economic development strategies vulnerable. Thus, a thorough understanding of inflationary episodes is critical. Using parametric hazard models, this examines...