One of the most controversial theories in international economics is Purchasing power parity (PPP) and has been debated in the literature for decades and there is still a controversy whether exchange rate between two currencies is determined by the change in relative prices of the two countries....

This research is motivated by the increasing systemic relevance of Islamic finance and Islamic stock markets beyond the borders of Arabia and other Muslim majority territories. It makes the initial attempt to consider the degree to which the five Islamic stock markets in the original ASEAN-5 and...

This paper makes an attempt to test the possible relationship between exchange rate and investment. Australia is used as a case study. It is interesting to discover the relationship, as the policy makers can use the exchange rate to encourage or discourage investment. The methods used are the...

This paper investigates the long run and causal relationship between exports and imports. In addition to the main variables, we include two other macroeconomic variables (exchange rate and money supply) in order to use them as control variables. Thailand is taken as a case study. The standard...

The recent financial crisis spread to markets worldwide. Therefore, the purpose of this paper is to test the interdependencies of capital markets selected which are DJIA, NIKKEI, FTSE, SSE and IBEX, before and after the Global Financial Crisis. Furthermore, it also identifies which index...

The purpose of this paper is to analyze the possible portfolio diversification opportunities between Asian Islamic market and other regions’ Islamic markets; namely USA, Europe and BRIC. This study makes the initial attempt to fill in the gaps of previous studies by focusing on the proxies of...

The exchange rate is able to influence the trade balance in most of countries’ economy. When a country's trade account does not net to zero – that is, when exports are not equal to imports – there is relatively more supply or demand for a country's currency, which influences the price of...

The objective of this study is to investigate the relationship between the global oil and stock markets using the Islamic and conventional global stock indexes. We test the short- and long-run asymmetric impact of oil prices on both the conventional and Islamic stock prices in the global...

The relationship between the exchange rate and remittance has been addressed in the literature. The results of these research papers, however, have been conflicting in terms of causal relationship between these variables. Even when some researches have proven the causality between them, they...

Exchange rate is seen as an important economic variable that affects Malaysia’s palm oil export, which the policy maker may interfere in order to ensure that it maintains its position as one of the major palm oil exporters in the world. Nevertheless, the lead-lag relationship between exchange...