Fakhri, Hasanov (2010): The Impact of Real Effective Exchange Rate on the Non-oil Export: The Case of Azerbaijan. Forthcoming in: Economic Journal of Economic Cooperation Organization No. 2nd issue
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The paper investigates the impact of the real exchange rate on non-oil exports in Azerbaijan by applying Vector Error Correction Model. The estimation results suggest that real exchange rate of manat has negative impact on non-oil export performance while non-oil GDP affects positively in the long- and short-run. Error correction term indicates that short-run fluctuation can be adjusted into long-run equilibrium relationship. Based on findings of the study can be concluded that appreciating real exchange rate is one of major factors that impede non-oil export growth. Since promotion of non-oil export is one of the urgent issues of the strategic economic policy of Azerbaijan Republic then findings of the study may be useful for policymakers.
|Item Type:||MPRA Paper|
|Original Title:||The Impact of Real Effective Exchange Rate on the Non-oil Export: The Case of Azerbaijan|
|English Title:||The Impact of Real Effective Exchange Rate on the Non-oil Export: The Case of Azerbaijan|
|Keywords:||Azerbaijani economy, Non-oil export, Real effective exchange rate, Non-oil GDP, Dutch Disease, Vector Error Correction Model.|
|Subjects:||C - Mathematical and Quantitative Methods > C3 - Multiple or Simultaneous Equation Models; Multiple Variables > C32 - Time-Series Models; Dynamic Quantile Regressions; Dynamic Treatment Effect Models
O - Economic Development, Technological Change, and Growth > O2 - Development Planning and Policy > O24 - Trade Policy; Factor Movement Policy; Foreign Exchange Policy
F - International Economics > F4 - Macroeconomic Aspects of International Trade and Finance > F41 - Open Economy Macroeconomics
P - Economic Systems > P2 - Socialist Systems and Transitional Economies > P28 - Natural Resources; Energy; Environment
|Depositing User:||Fakhri Hasanov|
|Date Deposited:||16. Mar 2011 20:10|
|Last Modified:||11. Feb 2013 22:12|
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