Can African Countries Achieve Long‐Run Real Exchange Rate Depreciation Through Nominal Exchange Rate Depreciation?
Author
Abstract
Suggested Citation
DOI: 10.1111/j.1813-6982.2004.tb00114.x
Download full text from publisher
References listed on IDEAS
- Peter Liu, 1992. "Purchasing power parity in Latin America: A co-integration analysis," Review of World Economics (Weltwirtschaftliches Archiv), Springer;Institut für Weltwirtschaft (Kiel Institute for the World Economy), vol. 128(4), pages 662-680, December.
- Akhand A. Hossain & Anis Chowdhury, 1998. "Open-Economy Macroeconomics for Developing Countries," Books, Edward Elgar Publishing, number 831.
- McNelis, Paul D., 1987. "Indexing, exchange rate policy and inflationary feedback effects in Latin America," World Development, Elsevier, vol. 15(8), pages 1107-1117, August.
- Connolly, Michael & Taylor, Dean, 1976. "Adjustment to devaluation with money and nontraded goods," Journal of International Economics, Elsevier, vol. 6(3), pages 289-298, August.
- repec:bla:obuest:v:64:y:2002:i:5:p:527-46 is not listed on IDEAS
- Pesaran, M. H. & Shin, Y. & Smith, R. J., 1996. "Testing for the 'Existence of a Long-run Relationship'," Cambridge Working Papers in Economics 9622, Faculty of Economics, University of Cambridge.
- Peter C. B. Phillips & Bruce E. Hansen, 1990. "Statistical Inference in Instrumental Variables Regression with I(1) Processes," The Review of Economic Studies, Review of Economic Studies Ltd, vol. 57(1), pages 99-125.
- Bahmani-Oskooee, Mohsen, 1993. "Purchasing power parity based on effective exchange rate and cointegration: 25 LDCs' experience with its absolute formulation," World Development, Elsevier, vol. 21(6), pages 1023-1031, June.
- Holmes, Mark J., 2001. "New Evidence on Real Exchange Rate Stationarity and Purchasing Power Parity in Less Developed Countries," Journal of Macroeconomics, Elsevier, vol. 23(4), pages 601-614, October.
- Taylor, Mark P. & Sarno, Lucio, 1998.
"The behavior of real exchange rates during the post-Bretton Woods period,"
Journal of International Economics, Elsevier, vol. 46(2), pages 281-312, December.
- Sarno, Lucio & Taylor, Mark P, 1997. "The Behaviour of Real Exchange Rates During the Post-Bretton Woods Period," CEPR Discussion Papers 1730, C.E.P.R. Discussion Papers.
- McNown, Robert & S. Wallace, Myles, 1989. "National price levels, purchasing power parity, and cointegration: a test of four high inflation economies," Journal of International Money and Finance, Elsevier, vol. 8(4), pages 533-545, December.
- Nagayasu, Jun, 2002.
"Does the Long-Run PPP Hypothesis Hold for Africa? Evidence from a Panel Cointegration Study,"
Bulletin of Economic Research, Wiley Blackwell, vol. 54(2), pages 181-187, April.
- Mr. Jun Nagayasu, 1998. "Does the Long-Run Ppp Hypothesis Hold for Africa? Evidence From Panel Co-Integration Study," IMF Working Papers 1998/123, International Monetary Fund.
- repec:bla:econom:v:46:y:1979:i:183:p:281-94 is not listed on IDEAS
- Rana, Pradumna B & Dowling, J Malcolm, Jr, 1985. "Inflationary Effects of Small but Continuous Changes in Effective Exchange Rates: Nine Asian LDCs," The Review of Economics and Statistics, MIT Press, vol. 67(3), pages 496-500, August.
- Peter Pedroni, 1999.
"Critical Values for Cointegration Tests in Heterogeneous Panels with Multiple Regressors,"
Oxford Bulletin of Economics and Statistics, Department of Economics, University of Oxford, vol. 61(S1), pages 653-670, November.
- Peter Pedroni, 1999. "Critical Values for Cointegration Tests in Heterogeneous Panels with Multiple Regressors," Department of Economics Working Papers 2000-02, Department of Economics, Williams College.
- Alba, Joseph D. & Papell, David H., 1998. "Exchange rate determination and inflation in Southeast Asian countries," Journal of Development Economics, Elsevier, vol. 55(2), pages 421-437, April.
- Bahmani-Oskooee, Mohsen & Miteza, Ilir, 2002. "Do nominal devaluations lead to real devaluations in LDCs?," Economics Letters, Elsevier, vol. 74(3), pages 385-391, February.
- Romeo Bautista, 1981. "Exchange rate changes and LDC export performance under generalized currency floating," Review of World Economics (Weltwirtschaftliches Archiv), Springer;Institut für Weltwirtschaft (Kiel Institute for the World Economy), vol. 117(3), pages 443-468, September.
- Peter Pedroni, 2000.
"Fully Modified OLS for Heterogeneous Cointegrated Panels,"
Department of Economics Working Papers
2000-03, Department of Economics, Williams College.
- Tom Doan, "undated". "PANELFM: RATS procedure to perform panel data group mean FMOLS," Statistical Software Components RTS00151, Boston College Department of Economics.
- Mahdavi, Saeid & Zhou, Su, 1994. "Purchasing power parity in high-inflation countries: further evidence," Journal of Macroeconomics, Elsevier, vol. 16(3), pages 403-422.
- Peter Pedroni, 2001.
"Purchasing Power Parity Tests In Cointegrated Panels,"
The Review of Economics and Statistics, MIT Press, vol. 83(4), pages 727-731, November.
- Peter Pedroni, 2001. "Purchasing Power Parity Tests in Cointegrated Panels," Department of Economics Working Papers 2001-01, Department of Economics, Williams College.
- Tom Doan, "undated". "PANELFM: RATS procedure to perform panel data group mean FMOLS," Statistical Software Components RTS00151, Boston College Department of Economics.
- Tom Doan, "undated". "PANELDOLS: RATS procedure to perform panel data group mean DOLS," Statistical Software Components RTS00150, Boston College Department of Economics.
- repec:bla:obuest:v:61:y:1999:i:0:p:653-70 is not listed on IDEAS
- Morgan, Theodore & Davis, Albert, 1982. "The Concomitants of Exchange-Rate Depreciation: Less Developed Countries, 1971-1973," Economic Development and Cultural Change, University of Chicago Press, vol. 31(1), pages 101-129, October.
Citations
Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
Cited by:
- Phouphet Kyophilavong & Muhammad Shahbaz & Gazi Salah Uddin, 2015.
"A Note on Nominal and Real Devaluation in Laos,"
Global Business Review, International Management Institute, vol. 16(2), pages 236-243, April.
- Kyophilavong, Phouphet & Shahbaz, Muhammad & Salah Uddin, Gazi, 2014. "A Note on Nominal and Real Devaluation in Laos," MPRA Paper 57307, University Library of Munich, Germany, revised 13 Jul 2014.
- Phouphet Kyophilavong & Muhammad Shahbaz & Gazi Salah Uddin, 2014. "A Note on Nominal and Real Devaluation in Laos," Working Papers 2014-446, Department of Research, Ipag Business School.
- Muhammad SHAHBAZ, 2009. "On Nominal and Real Devaluations Relation: An Econometric Evidence for Pakistan," International Journal of Applied Econometrics and Quantitative Studies, Euro-American Association of Economic Development, vol. 9(1).
- Bahmani-Oskooee, Mohsen & Hegerty, Scott W. & Kutan, Ali M., 2008. "Do nominal devaluations lead to real devaluations? Evidence from 89 countries," International Review of Economics & Finance, Elsevier, vol. 17(4), pages 644-670, October.
- Muhammad Nasir & Wasim Malik, 2011. "Structural Decomposition of Exchange Rate Shocks in Pakistan: An Empirical Investigation using SVAR Methodology," Transition Studies Review, Springer;Central Eastern European University Network (CEEUN), vol. 18(1), pages 124-138, September.
- Salah A Nusair, 2017. "On the Nominal and Real Currency Devaluation Nexus in European Transition Economies," Eastern Economic Journal, Palgrave Macmillan;Eastern Economic Association, vol. 43(4), pages 677-698, September.
- Boubellouta Bilal & Muhammad Shahbaz, 2021. "Comparing the Relationship Between Nominal and Real Effective Exchange Rates During the Last Two Devaluations in Algeria," Global Business Review, International Management Institute, vol. 22(6), pages 1421-1440, December.
Most related items
These are the items that most often cite the same works as this one and are cited by the same works as this one.- Holmes, M, 2004. "Nominal Exchange Rates Adjustment and Long-Run Competitiveness in Less Developed Countries," Applied Econometrics and International Development, Euro-American Association of Economic Development, vol. 4(3).
- Mark J. Holmes & Ping Wang, 2005. "Do African Countries Move Asymmetrically Towards Purchasing Power Parity?," South African Journal of Economics, Economic Society of South Africa, vol. 73(2), pages 292-301, June.
- Marcos José Dal Bianco, 2008. "Argentinean real exchange rate 1900-2006, test purchasing power parity theory," Estudios de Economia, University of Chile, Department of Economics, vol. 35(1 Year 20), pages 33-64, June.
- Chi-Wei Su & Tsangyao Chang & Yu-Shao Liu, 2012. "Revisiting purchasing power parity for African countries: with nonlinear panel unit-root tests," Applied Economics, Taylor & Francis Journals, vol. 44(25), pages 3263-3273, September.
- Njindan Iyke, Bernard, 2015. "Real Exchange Rates Persistence in the West African Monetary Zone: A Revisit of the PPP Puzzle," MPRA Paper 67282, University Library of Munich, Germany.
- Mohsen Bahmani‐Oskooee & Scott W. Hegerty, 2009. "Purchasing Power Parity In Less‐Developed And Transition Economies: A Review Paper," Journal of Economic Surveys, Wiley Blackwell, vol. 23(4), pages 617-658, September.
- Imed Drine & Christophe Rault, 2008.
"Purchasing Power Parity For Developing And Developed Countries. What Can We Learn From Non‐Stationary Panel Data Models?,"
Journal of Economic Surveys, Wiley Blackwell, vol. 22(4), pages 752-773, September.
- Drine, Imed & Rault, Christophe, 2007. "Purchasing Power Parity for Developing and Developed Countries: What Can We Learn from Non-Stationary Panel Data Models?," IZA Discussion Papers 2887, Institute of Labor Economics (IZA).
- Imed Drine & Christophe Rault, 2008. "Purchasing Power Parity for developing and developed countries. What can we learn from non-stationary panel data models?," Post-Print hal-00322105, HAL.
- Imed Drine & Christophe Rault, 2008. "Purchasing Power Parity for Developing and Developed Countries: What can we learn from Non-Stationary Panel Data Models," Post-Print halshs-00363678, HAL.
- Imed Drine & Christophe Rault, 2008. "Purchasing Power Parity for Developing and Developed Countries. What can we Learn from Non-Stationary Panel Data Models?," CESifo Working Paper Series 2255, CESifo.
- Imed Drine & Christophe Rault, 2008. "Purchasing Power Parity for Developing and Developed Countries: What can we learn from Non-Stationary Panel Data Models," Post-Print halshs-00363672, HAL.
- Ahmad Zubaidi Baharumshah & Evan Lau & Mudziviri T. Nziramasanga, 2010. "Purchasing Power Parity In African Countries: Evidence From Panel Suradf Test," South African Journal of Economics, Economic Society of South Africa, vol. 78(1), pages 40-56, March.
- Christian Dreger & Dierk Herzer, 2013.
"A further examination of the export-led growth hypothesis,"
Empirical Economics, Springer, vol. 45(1), pages 39-60, August.
- Dierk Herzer, 2010. "A further examination of the export-led growth hypothesis," Ibero America Institute for Econ. Research (IAI) Discussion Papers 200, Ibero-America Institute for Economic Research.
- Dreger, Christian & Herzer, Dierk, 2011. "A further examination of the export-led growth hypothesis," Discussion Papers 305, European University Viadrina Frankfurt (Oder), Department of Business Administration and Economics.
- Christian Dreger & Dierk Herzer, 2011. "A Further Examination of the Export-Led Growth Hypothesis," Discussion Papers of DIW Berlin 1149, DIW Berlin, German Institute for Economic Research.
- Chakrabarti, Avik, 2006. "The saving-investment relationship revisited: New evidence from multivariate heterogeneous panel cointegration analyses," Journal of Comparative Economics, Elsevier, vol. 34(2), pages 402-419, June.
- Muhammad Zakaria & Bashir Ahmed Fida & Saquib Yousaf Janjua & Syed Jawad Hussain Shahzad, 2017. "Fertility and Financial Development in South Asia," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 133(2), pages 645-668, September.
- Robertson, Raymond & Kumar, Anil & Dutkowsky, Donald H., 2014. "Weak-form and strong-form purchasing power parity between the US and Mexico: A panel cointegration investigation," Journal of Macroeconomics, Elsevier, vol. 42(C), pages 241-262.
- Alsaleh, Mohd & Abdul-Rahim, A.S., 2022. "The pathway toward pollution mitigation in EU28 region: Does hydropower growth make a difference?," Renewable Energy, Elsevier, vol. 185(C), pages 291-301.
- Juan Carlos Aquino & N. R. Ramírez-Rondán, 2020.
"Estimating factor shares from nonstationary panel data,"
Empirical Economics, Springer, vol. 58(5), pages 2353-2380, May.
- Juan Aquino-Chávez & N.R. Ramírez-Rondán, 2017. "Estimating Factor Shares from Nonstationary Panel Data," Working Papers 89, Peruvian Economic Association.
- Charles Ka Yui Leung & Edward Chi Ho Tang, 2023.
"The dynamics of the house price‐to‐income ratio: Theory and evidence,"
Contemporary Economic Policy, Western Economic Association International, vol. 41(1), pages 61-78, January.
- Charles Ka Yui Leung & Edward Chi Ho Tang, 2021. "The Dynamics of the House Price-to-Income Ratio: Theory and Evidence," ISER Discussion Paper 1125, Institute of Social and Economic Research, Osaka University.
- Charles Ka Yui Leung & Edward Chi Ho Tang, 2021. "The Dynamics of the House Price-to-Income Ratio: Theory and Evidence," GRU Working Paper Series GRU_2021_005, City University of Hong Kong, Department of Economics and Finance, Global Research Unit.
- Raffaello Bronzini & Paolo Piselli, 2005. "What determines productivity level in the long run? Evidence from Italians regions," ERSA conference papers ersa05p267, European Regional Science Association.
- Holmes, Mark J., 2001. "New Evidence on Real Exchange Rate Stationarity and Purchasing Power Parity in Less Developed Countries," Journal of Macroeconomics, Elsevier, vol. 23(4), pages 601-614, October.
- Markus Eberhardt & Francis Teal, 2008.
"Modeling Technology and Technological Change in Manufacturing: How do Countries Differ?,"
CSAE Working Paper Series
2008-12, Centre for the Study of African Economies, University of Oxford.
- Eberhardt, Markus & Teal, Francis, 2008. "Modeling technology and technological change in manufacturing: how do countries differ?," MPRA Paper 10690, University Library of Munich, Germany.
- Francis Teal & Markus Eberhardt, 2010. "Productivity Analysis in Global Manufacturing Production," Economics Series Working Papers 515, University of Oxford, Department of Economics.
- Nasri Harb, 2007.
"Trade between Euro zone and Arab countries: a panel study,"
Applied Economics, Taylor & Francis Journals, vol. 39(16), pages 2099-2107.
- Harb, Nasri, 2006. "Trade Between Euro Zone and Arab Countries: a Panel Study," MPRA Paper 13675, University Library of Munich, Germany.
- Mark Holmes & Ping Wang, 2006. "Asymmetric adjustment towards long-run PPP: Some new evidence for Asian economies," International Economic Journal, Taylor & Francis Journals, vol. 20(2), pages 161-177.
Corrections
All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:bla:sajeco:v:72:y:2004:i:2:p:305-323. See general information about how to correct material in RePEc.
If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.
If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .
If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Wiley Content Delivery (email available below). General contact details of provider: https://edirc.repec.org/data/essaaea.html .
Please note that corrections may take a couple of weeks to filter through the various RePEc services.