The examination of the purchasing power parity theory with reference to Pakistan is the prime objective of this paper. Consumer price index (CPI), whole sale price index (WPI), and the nominal exchange rates (NEER) are variables in this study for the period 1980-2008, on the basis of mean...

Objective of this study is to estimate the impact of real exchange rate depreciation on balance of trade in Pakistan. The study examines validity of the Marshall Lerner condition in Pakistan data (1970-2008) by using impulse response function which fulfills the J-curve idea. To evaluate long run...

This study examines the sources of real exchange rate fluctuations in Pakistan and use the SVAR (Structure Vector Autoregressive) technique to analysis the impact of different macroeconomics shocks for fluctuation in real exchange rate of Pak rupee. According to Blanchard and Quah (1999), the...