Article ID Journal Published Year Pages File Type
981962 Procedia Economics and Finance 2013 9 Pages PDF
Abstract

This paper examines the effect of exchange rate volatility for a set of two countries, Croatia and Cyprus on sectoral exports during the period of 1990: q1-2012:q1. It is claimed by some researchers that exchange rate volatility causes a reduction on the overall level of trade. Empirical researchers often utilize the standard deviation of the moving average of the logarithm of the exchange rate as a measure of exchange rate fluctuation. In this study we propose a new measure for volatility. Overall our results have suggested significant negative effects from volatility on exports for one country in our sample.

Related Topics
Social Sciences and Humanities Economics, Econometrics and Finance Economics and Econometrics