Munich Personal RePEc Archive

Determinantes del déficit comercial de la República Dominicana

Mejía Méndez, Cinthya and Jáquez Polanco, Jaqueli and Cruz-Rodríguez, Alexis (2017): Determinantes del déficit comercial de la República Dominicana.

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Abstract

The objective of this paper is to identify the factors that influenced the trade deficit of the Dominican Republic for the period 2000-2014. For them, the role of the real exchange rate, private consumption and foreign direct investment are examined using a ordinary least square model (OLS) and an error correction mechanism (ECM). The results indicate that an increase in private consumption and increased foreign direct investment increases the trade deficit, while an increase in US GDP as well as the depreciation of the real exchange rate implies an improvement in the trade balance.

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