Bahmani-Oskooee, Mohsen; Karamelikli, Huseyin - In: Studies in Economics and Finance 38 (2021) 4, pp. 748-785
Purpose: The purpose of this paper is to show that in some industries the linear model may not reveal any significance link between exchange rate volatility and trade flows but once nonlinear adjustment of exchange rate volatility is introduced, the nonlinear model reveals significant link....