Yuan revaluation and its implications

摘要

This study analyses the impacts of economic activity and exchange-rate movement and its volatility on exports and imports between Korea and China. Using monthly data from April 1994 to December 2007, Error-Correction Models (ECMs) are specified to estimate the cumulative effects of determinants for export and import demand. According to the empirical results, the depreciation of exchange rate would stimulate the export growth. In addition, it would be desirable to stabilize exchange rate in order to boost trade flows.View full textDownload full textKeywordsexchange rate, volatility, error-correction model, tradeJEL ClassificationC22, F19, F31Related var addthis_config = { ui_cobrand: "Taylor & Francis Online", services_compact: "citeulike,netvibes,twitter,technorati,delicious,linkedin,facebook,stumbleupon,digg,google,more", pubid: "ra-4dff56cd6bb1830b" }; Add to shortlist Link Permalink http://dx.doi.org/10.1080/13504851.2011.570700