scholarly journals Measuring the relationship between the balance of payments and the exchange rate - A case study of a group of Arab countries during the period 2000/2016-

2018 ◽  
Vol 2 (2) ◽  
pp. 44-66
Author(s):  
Abd Elouahid SERARMA ◽  
Newfel BAALOUL
Keyword(s):  
Exchange Rate ◽  
Empirical Studies ◽  
Arab Countries ◽  
Balance Of Payments ◽  
Rate System ◽  
Exchange Rate System ◽  
Independent Variable ◽  
The Exchange Rate ◽  
The Relationship

The Objective of this study is to examine the effect of exchange rate system on the balance of payments, with a case study of a group of Arab countries. First we shed light on the most important theoretical and empirical studies of exchange rate systems and their macroeconomics effects in one hand. In the other hand we study a case of six oil exporting Arab countries. To achieve this purpose we adopted a panel data and run an econometric model to examine the relationships between the variables during the period 2000 to 2016. The study concluded that there is a significant positive correlation between the exchange rate as an independent variable and the balance of payments as a dependent variable, and there is no deference in the effects of the exchange system in the study of six Arab economies.

عائد الإصدار النقدي في ظل نظام سعر الصرف المرن في العراق للمدة (1990-2003)

2021 ◽  
Vol 2020 (67) ◽  
pp. 132-153
Author(s):  
رسل كاظم جعفر ◽  
أ. م. د. عبد الرسول علي حسين
Keyword(s):  
Exchange Rate ◽  
Flexible Exchange Rate ◽  
Rate System ◽  
The Third ◽  
Exchange Rate System ◽  
Monetary Issue ◽  
Monetary Return ◽  
The Government ◽  
The Impact ◽  
The Relationship

This study deals with the relationship between the flexible exchange rate system and the return on the monetary issue, in other words, it tries to clarify the extent of the impact of adopting the flexible exchange rate system on the monetary return that the government can get. Therefore, this study came divided into three sections, the first topic dealt with the concept of the flexible exchange rate, while the second topic dealt with the concept of the return on the cash issue and methods of measuring it, and the third section reviews the size of the return on the cash issue achieved by the government if it follows the flexible exchange rate system. Keywords: yield on the cash issue, flexible exchange rate system, inflation tax, opportunity cost.

scholarly journals Triangular Causality and Controlling Parallel Exchange Market

2019 ◽  
Vol 3 (1) ◽  
pp. 20-32
Author(s):  
Bijan Bidabad
Keyword(s):  
Exchange Rate ◽  
Foreign Exchange ◽  
Price Level ◽  
Balance Of Payments ◽  
Market Liquidity ◽  
Exchange Market ◽  
Long Run ◽  
Short Run ◽  
The Exchange Rate ◽  
The Relationship

In this paper, the triangular relationship of money, price, and foreign exchange in a causality context are studied. It is concluded that regulating the exchange rate by volume of liquidity in a period of less than a year is not possible, but in annual and biannual analyses we can regulate the exchange rate through controlling the liquidity. In other words, in the long run, the exchange rate is affected by liquidity and price level, but in the short run, the price level has only temporary effects on the exchange rate. The results of the study show that: liquidity affects the exchange rate in the long run; price affects the liquidity in the long run; in the long run, liquidity and exchange rate affect prices.  Our results show that injection of foreign exchange into the parallel exchange market with different lags has little effects with different directions on the exchange rate. The same result is true for the relationship between liquidity and dollar rate. In other words, in spite of the long run relationship between exchange rate and liquidity, we cannot justify this relationship in the short run. The same is true with the balance of payments position and exchange rate in the short run. By simulating the relationship between injecting (selling) foreign exchange in the parallel exchange market, liquidity and the cumulative balance of payments all with exchange rate, we can conclude that in the short run, regulating exchange rate by instruments such as selling exchange in the parallel market or controlling the liquidity is not possible, but in the long run, conducting foreign exchange sale policy and controlling the liquidity and the balance of payments position can control the exchange market.

scholarly journals Does Exchange-Rate Stability Increase Trade and Welfare?

2000 ◽  
Vol 90 (5) ◽  
pp. 1093-1109 ◽  
Author(s):  
Philippe Bacchetta ◽  
Eric van Wincoop
Keyword(s):  
Exchange Rate ◽  
Purchasing Power Parity ◽  
Monetary Shocks ◽  
Price Setting ◽  
Power Parity ◽  
Rate System ◽  
Monetary Policy Rules ◽  
Separable Preferences ◽  
Exchange Rate System ◽  
The Exchange Rate

This paper develops a simple general-equilibrium framework to study the effect of the exchange-rate system on trade and welfare. An important feature of the model is deviations from purchasing-power parity, caused by rigid price setting in buyers' currency. In a benchmark model with separable preferences and only monetary shocks, trade is unaffected by the exchange-rate system, consistent with most evidence. In general, both trade and welfare can be higher under either exchange-rate system, depending on preferences and on the monetary-policy rules followed under each system. There is no one-to-one relationship between the levels of trade and welfare across exchange-rate systems. (JEL F31, F33, F41)

Reforming the Exchange-Rate System

SAIS Review ◽  
1986 ◽  
Vol 6 (2) ◽  
pp. 1-9
Author(s):  
C. Fred Bergsten
Keyword(s):  
Exchange Rate ◽  
Rate System ◽  
Exchange Rate System ◽  
The Exchange Rate

scholarly journals Macroeconomic Fundamentals and the Exchange Rate Volatility: Empirical Evidence From Somalia

SAGE Open ◽  
2020 ◽  
Vol 10 (1) ◽  
pp. 215824401989884
Author(s):  
Mohamed Ibrahim Nor ◽  
Tajul Ariffin Masron ◽  
Tariq Tawfeeq Yousif Alabdullah
Keyword(s):  
Exchange Rate ◽  
Exchange Rates ◽  
Regulatory Authority ◽  
Exchange Rate Volatility ◽  
Rate System ◽  
Macroeconomic Factors ◽  
Post Conflict ◽  
Macroeconomic Fundamentals ◽  
Exchange Rate System ◽  
The Exchange Rate

The purpose of this research is to investigate the effect of macroeconomic factors on the volatility of Somalia’s unregulated exchange rates. While utilizing the EGARCH (exponential generalized autoregressive conditional heteroskedastic) model, this study found that the unregulated exchange rate volatility of Somalia is influenced by its own shocks and the macroeconomic factors. This study implies that although Somali shilling circulated without regulatory authority for the period of the statelessness, this circulation has been accompanied by volatile exchange rates. This phenomenon makes this study an appealing work that should be pursued further. Hence, this study contributes notably to the process of reforming the exchange rate system and the monetary policy of the post-conflict economy of Somalia. In addition, the results of this study imply that even in times of war and lawlessness the laws of economics do not change completely.

Uncertainty, Currency Areas and the Exchange Rate System

Economica ◽  
1972 ◽  
Vol 39 (156) ◽  
pp. 432 ◽  
Author(s):  
Robert Z. Aliber
Keyword(s):  
Exchange Rate ◽  
Rate System ◽  
Exchange Rate System ◽  
The Exchange Rate
Sign in / Sign up

Export Citation Format

Share Document