Exchange Rate Behaviour of East European Transitional Economies
Eastern European countries, which are candidates for accord into the Exchange Rate Mechanism (ERM) and the eventual move towards Euro, fi nd exchange rate management a tedious challenge. This paper examines the underlying factors that move exchange rates and helps us to contribute towards streamlini...
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| Format: | Article |
| Language: | English |
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Universiti Utara Malaysia
2009-08-01
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| Series: | The International Journal of Banking and Finance |
| Subjects: | |
| Online Access: | https://www.e-journal.uum.edu.my/index.php/ijbf/article/view/8391 |
| _version_ | 1828069277700194304 |
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| author | Catherine S. F. Ho |
| author_facet | Catherine S. F. Ho |
| author_sort | Catherine S. F. Ho |
| collection | DOAJ |
| description | Eastern European countries, which are candidates for accord into the Exchange Rate Mechanism (ERM) and the eventual move towards Euro, fi nd exchange rate management a tedious challenge. This paper examines the underlying factors that move exchange rates and helps us to contribute towards streamlining policies and strategies in moving these countries forward. The new findings on exchange rate determinants for this group of transitional economies are based on parity factors as well as non-parity factor effects. The evidence that emerges from this paper is that non-parity factors including economic growth rate, current account and capital flows are significantly correlated with exchange rates. The results are robust whichever data set is used, high-frequency and low-frequency data sets.
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| first_indexed | 2024-04-11T00:15:35Z |
| format | Article |
| id | doaj.art-9ff71211ecd74ac8a068cfa118b927dd |
| institution | Directory Open Access Journal |
| issn | 2811-3799 2590-423X |
| language | English |
| last_indexed | 2024-04-11T00:15:35Z |
| publishDate | 2009-08-01 |
| publisher | Universiti Utara Malaysia |
| record_format | Article |
| series | The International Journal of Banking and Finance |
| spelling | doaj.art-9ff71211ecd74ac8a068cfa118b927dd2023-01-09T03:08:37ZengUniversiti Utara MalaysiaThe International Journal of Banking and Finance2811-37992590-423X2009-08-0162Exchange Rate Behaviour of East European Transitional EconomiesCatherine S. F. Ho0University Technology MARA, MalaysiaEastern European countries, which are candidates for accord into the Exchange Rate Mechanism (ERM) and the eventual move towards Euro, fi nd exchange rate management a tedious challenge. This paper examines the underlying factors that move exchange rates and helps us to contribute towards streamlining policies and strategies in moving these countries forward. The new findings on exchange rate determinants for this group of transitional economies are based on parity factors as well as non-parity factor effects. The evidence that emerges from this paper is that non-parity factors including economic growth rate, current account and capital flows are significantly correlated with exchange rates. The results are robust whichever data set is used, high-frequency and low-frequency data sets. https://www.e-journal.uum.edu.my/index.php/ijbf/article/view/8391Exchange ratePricesTrade and capital flowsForeign debtReservesGrowth |
| spellingShingle | Catherine S. F. Ho Exchange Rate Behaviour of East European Transitional Economies The International Journal of Banking and Finance Exchange rate Prices Trade and capital flows Foreign debt Reserves Growth |
| title | Exchange Rate Behaviour of East European Transitional Economies |
| title_full | Exchange Rate Behaviour of East European Transitional Economies |
| title_fullStr | Exchange Rate Behaviour of East European Transitional Economies |
| title_full_unstemmed | Exchange Rate Behaviour of East European Transitional Economies |
| title_short | Exchange Rate Behaviour of East European Transitional Economies |
| title_sort | exchange rate behaviour of east european transitional economies |
| topic | Exchange rate Prices Trade and capital flows Foreign debt Reserves Growth |
| url | https://www.e-journal.uum.edu.my/index.php/ijbf/article/view/8391 |
| work_keys_str_mv | AT catherinesfho exchangeratebehaviourofeasteuropeantransitionaleconomies |