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Using two examples we have shown that large fluctuations in real exchange rates cannot normally be attributed to "overshooting" in the Dornbusch sense. We proposed to use the interest differential between to countries as a direct and reliable measure of the extend of overshooting. Observing that...
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The study analyzed the effectiveness of exchange rate on macroeconomic variables of Pakistan. The precise objective of the study is to examine the causality between exchange rate, trade, inflation, FDI and GDP through a series of models. On the annual time series data for the years 1980-2009...
Persistent link: https://www.econbiz.de/10011938301
African countries have over the years experienced persistent current account deficits. The role of asymmetries in explaining the response of trade balance to exchange rate movement has not received adequate attention as linear models dominate extant empirical literature. In this paper, we...
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Verantwortung für eine einheitliche Geldpolitik im Euroraum. Während damit Nominalzinsunterschiede innerhalb der EWU praktisch der … Wechselkurs der Länder divergiert somit stetig. Während also Realzinsdifferenzen zu einer dauerhaft unterschiedlichen Entwicklung … beitragen, führt der reale Wechselkurs eher zu einer Konvergenz zwischen den Ländern einer Währungsunion. Letztlich stellt sich …
Persistent link: https://www.econbiz.de/10011692537
Im September 2011 legte die Schweizerische Nationalbank (SNB) eine Kursuntergrenze des Euro gegenüber dem Franken von 1,20 fest. Dieser Mindestkurs wurde im Januar 2015 überraschend aufgehoben. Nach Ansicht von Peter Bernholz, Universität Basel, sind die Folgen der Freigabe zurzeit noch nicht...
Persistent link: https://www.econbiz.de/10011693786
In recent years there has been a particular interest in the relation between exchange rates and interest rates both in developed countries and emerging countries. This is understandable given the important role that these variables have in determining the movement of nominal and real economic...
Persistent link: https://www.econbiz.de/10012217846
In Africa, a number of countries like South Africa have adopted inflation targeting. In Nigeria, different monetary policy regimes have been adopted over the years with rather unsatisfactory success. This study examines inflation targeting in Nigeria and South Africa, using fully modified least...
Persistent link: https://www.econbiz.de/10012657405