Exchange Rate Regime Durability and Performance in Developing Countries Versus Advanced Economies

This paper examines the claim that exchange rate regimes are of little relevance in the transmission of global financial conditions to domestic financial and macroeconomic conditions. Our findings suggest that exchange rate regimes do matter, at least for emerging market economies. The transmission of global financial shocks to domestic variables is magnified under fixed exchange rate regimes relative to more flexible regimes. For advanced economies, however, the jury is still out, as the recent paucity of truly fixed regimes among these economies poses a challenge for estimating the effect of exchange rate flexibility.

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Monetary discipline and inflation in developing countries: the role of the exchange rate regime

Oxford Economic Papers ◽

10.1093/oep/52.3.521 ◽

2000 ◽

Vol 52 (3) ◽

pp. 521-538 ◽

Cited By ~ 10

Author(s):

D Fielding

Keyword(s):

Developing Countries ◽

Exchange Rate ◽

Exchange Rate Regime ◽

The Exchange Rate

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IMPACT EXPORT DIVERSIFICATION ON EXCHANGE RATE REGIME CHOICE

Journal of Developing Economies ◽

10.20473/jde.v2i2.6812 ◽

2017 ◽

Vol 2 (2) ◽

pp. 25

Author(s):

Eka Putri Mayangsari

Keyword(s):

Developing Countries ◽

Exchange Rate ◽

Positive Impact ◽

Exchange Rate Regime ◽

Extensive Margin ◽

Export Diversification ◽

Intensive Margin ◽

The Exchange Rate ◽

Emerging And Developing Countries ◽

The Impact

ABSTRACT The choice of exchange rate regime is the most relevant decision in the economic world that has to be faced by the economic authority until now. Exchange rate regime that is applied by one country become a controversial debate after the Asia’s crisis in the year 1997-1998, especially for developing countries and emerging economies in Asia. The purpose of this research is to see the impact of export diversification, intensive margin and extensive margin to the choice of the exchange rate regime in nine emerging and developing countries in Asia 1991-2014.This research uses the panel logistic regression model to analyze the two model that are used in the research; they are: model 1 (the impact of export diversification to the exchange rate regime),and model 2 (the impact of extensive margin and intensive margin to the exchange rate regime. To avoid and to lessen the chances of endogeneity problem therefore, all of the independent variables and the control variable must be lagged in one period.The results of the regression shows that export diversification have a significant positive impact on the exchange rate regime. When export diversification is decomposed into intensive margin and extensive margins, the result shows that the extensive margins also have a significant positive impact towards the exchange rate regime, while the intensive margin does not show any significant impact towards the exchange rate regime choice. Keywords: exchange rate regime, export diversification, intensive margin, extensive margin, emerging and developing countries in Asia.

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Servitization impact on performance moderated by country development

Benchmarking An International Journal ◽

10.1108/bij-10-2018-0311 ◽

2019 ◽

Vol 27 (1) ◽

pp. 302-318 ◽

Cited By ~ 2

Author(s):

Renata Moreno ◽

Leonardo Marques ◽

Rebecca Arkader

Keyword(s):

Developing Countries ◽

Firm Performance ◽

Social Impact ◽

Developing Economies ◽

Developed Countries ◽

Content Type ◽

Advanced Economies ◽

Medium Level ◽

And Performance ◽

The Impact

Purpose In recent years, “servitization” has been studied extensively; however, as studies of the impact of servitization on firm performance offer mixed results, the conditions under which the relationship between servitization and performance becomes more significant are contested in the literature. These mixed results have led to the term “service paradox.” The paper aims to discuss these issues. Design/methodology/approach This study investigates servitization in the assembly industry based on a multi-country survey covering 539 industry plants in 22 countries. Findings The study contributes to the research on servitization by adding a contextual perspective to this relationship, taking into account level of development of the country in which a firm is located. Besides confirming the correlation between the servitization and performance, our study unveils a counter-intuitive result: a medium level of development of the country in which a firm is based corresponds to a stronger relationship between servitization and firm performance, whereas higher levels of development seem to diminish the increase in performance. Social implications This study balances out the focus in servitization on advanced economies and help to unveil its benefits in developing countries. Fostering servitization in developing economies can lead to social impact resulting from job shifts from manufacturing to service and the correlated implications for workers’ training and higher motivation experienced in service-based jobs. Originality/value Our study unpacks the “service paradox” and indicates that industry plants in developing countries can still harness the benefits of being first-movers, whereas, in developed countries, servitization may have become an order qualifier rather than a factor of differentiation.

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