Domestic inflation, exchange rate, and aggregate import demand nexus in Nigeria: New evidence from cointegrating regression

Author(s):  
Luanping Zhou ◽  
Bruce I. Iormom ◽  
Muhammad Salman Azhar ◽  
Michael Yao‐Ping Peng
2010 ◽  
Vol 50 (3) ◽  
pp. 254-263 ◽  
Author(s):  
Augustine C. Arize ◽  
Srinivas Nippani
Keyword(s):  

2021 ◽  
Vol 9 (2) ◽  
pp. 253-269
Author(s):  
Florencia Médici ◽  
Augustín Mario ◽  
Alejandro Fiorito

This study provides new evidence showing that the real exchange rate (RER) does not play an important role in the growth of Mexican GDP. Economic growth is not an automatically predetermined result of relative price correction, and it is important to consider distinctive aspects of national institutional arrangements (fiscal and monetary, for example) for understanding theoretical causality of demand. The empirical results show public expenditure is an overlooked variable in regressions where the exchange rate affects product growth. After incorporating public expenditure, the RER impact on growth becomes insignificant. For its part, public expenditure has a positive and significant effect on GDP in the long term. The RER does not lead to greater GDP since exports are not stimulated through price.


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