Real exchange rate and economic growth in east asian countries: The role of financial integration

Dai, PV; Delpachitra, S; Cottrell, S

Real exchange rate and economic growth in east asian countries: The role of financial integration

Dai, PV Delpachitra, S Cottrell, S

Permalink

Publication Type:: Journal Article
Citation:: Singapore Economic Review, 2017, 62 (1), pp. 163 - 177
Issue Date:: 2017-03-01

Closed Access

	Filename	Description	Size
	ContentServer (1).pdf	Published Version	132.9 kB	Adobe PDF	View/Open

Copyright Clearance Process

Recently Added
In Progress
Closed Access

This item is closed access and not available.

Full metadata record

Field	Value	Language
dc.contributor.author	Dai, PV	en_US
dc.contributor.author	Delpachitra, S	en_US
dc.contributor.author	Cottrell, S	en_US
dc.date.issued	2017-03-01	en_US
dc.identifier.citation	Singapore Economic Review, 2017, 62 (1), pp. 163 - 177	en_US
dc.identifier.issn	0217-5908	en_US
dc.identifier.uri	http://hdl.handle.net/10453/127434
dc.description.abstract	© 2017 World Scientific Publishing Company. This study examines the role of financial integration in determining the relationship between the real exchange rate (RER) and economic growth in East Asian countries. It hypothesizes that a competitive RER could play a greater role in promoting economic growth in countries with a low degree of financial integration. A growth model was specified using a RER misalignment index and its interaction terms with financial integration as explanatory variables. Different proxies for financial integration were employed to verify the interaction. The empirical results demonstrate the significance of the interaction terms and largely validate the hypothesis. This result demonstrates that a competitive RER policy is not a general solution for economic growth and its effectiveness could largely depend on a country's degree of financial integration.	en_US
dc.relation.ispartof	Singapore Economic Review	en_US
dc.relation.isbasedon	10.1142/S0217590816500168	en_US
dc.subject.classification	Economics	en_US
dc.title	Real exchange rate and economic growth in east asian countries: The role of financial integration	en_US
dc.type	Journal Article
utslib.citation.volume	1	en_US
utslib.citation.volume	62	en_US
utslib.for	1402 Applied Economics	en_US
utslib.for	14 Economics	en_US
pubs.embargo.period	Not known	en_US
pubs.organisational-group	/University of Technology Sydney
pubs.organisational-group	/University of Technology Sydney/Faculty of Business
utslib.copyright.status	closed_access
pubs.issue	1	en_US
pubs.publication-status	Published	en_US
pubs.volume	62	en_US

Abstract:

© 2017 World Scientific Publishing Company. This study examines the role of financial integration in determining the relationship between the real exchange rate (RER) and economic growth in East Asian countries. It hypothesizes that a competitive RER could play a greater role in promoting economic growth in countries with a low degree of financial integration. A growth model was specified using a RER misalignment index and its interaction terms with financial integration as explanatory variables. Different proxies for financial integration were employed to verify the interaction. The empirical results demonstrate the significance of the interaction terms and largely validate the hypothesis. This result demonstrates that a competitive RER policy is not a general solution for economic growth and its effectiveness could largely depend on a country's degree of financial integration.

Please use this identifier to cite or link to this item:

http://hdl.handle.net/10453/127434