Exchange Rate Fluctuations and Trade Flows : Evidence From the European Union /

This paper analyzes the effects of exchange rate volatility on bilateral trade flows. Through use of a gravity model and panel data from western Europe, exchange rate uncertainty is found to have a negative effect on international trade. The results seem to be robust with respect to the particular m...

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Bibliografski detalji
Glavni autor: Dell'Ariccia, Giovanni
Format: Žurnal
Jezik:English
Izdano: Washington, D.C. : International Monetary Fund, 1998.
Serija:IMF Working Papers; Working Paper ; No. 1998/107
Online pristup:Full text available on IMF
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100 1 |a Dell'Ariccia, Giovanni. 
245 1 0 |a Exchange Rate Fluctuations and Trade Flows :   |b Evidence From the European Union /  |c Giovanni Dell'Ariccia. 
264 1 |a Washington, D.C. :  |b International Monetary Fund,  |c 1998. 
300 |a 1 online resource (27 pages) 
490 1 |a IMF Working Papers 
500 |a <strong>Off-Campus Access:</strong> No User ID or Password Required 
500 |a <strong>On-Campus Access:</strong> No User ID or Password Required 
506 |a Electronic access restricted to authorized BRAC University faculty, staff and students 
520 3 |a This paper analyzes the effects of exchange rate volatility on bilateral trade flows. Through use of a gravity model and panel data from western Europe, exchange rate uncertainty is found to have a negative effect on international trade. The results seem to be robust with respect to the particular measures representing exchange rate uncertainty. Particular attention is reserved for problems of simultaneous causality. The negative correlation between trade and bilateral volatility remains significant after controlling for the simultaneity bias. However, a Hausman test rejects the hypothesis of the absence of simultaneous causality. 
538 |a Mode of access: Internet 
830 0 |a IMF Working Papers; Working Paper ;  |v No. 1998/107 
856 4 0 |z Full text available on IMF  |u http://elibrary.imf.org/view/journals/001/1998/107/001.1998.issue-107-en.xml  |z IMF e-Library