1,029
Views
31
CrossRef citations to date
0
Altmetric
Articles

Real Exchange Rate Changes and the Trade Balance: The Evidence from Pakistan

, &
Pages 139-153 | Published online: 28 Mar 2012

REFERENCES

  • Aftab , Z. and Aurangzeb , K. 2002 . The Long Run and Short Run Impact of Exchange Rate Devaluation on Pakistan's Trade Performance , Lahore , , Pakistan : Paper presented at South and Southeast Asia Econometrics Society Conference, Lahore University of Management Sciences (LUMS) .
  • Aftab , Z. and Khan , S. 2008 . Bilateral J-curves between Her Trading Partners , Vol. 45 , PIDE Working Paper No . Islamabad, Pakistan: Pakistan Institute of Development Economics
  • Agbola , F. July 2004 . Does Devaluation Improve Trade Balance of Ghana? Paper presented at the International Conference on Ghana's Economy at the , July , 18 – 20 . M-Plaza Hotel, Accra , , Ghana : Half Century . 2004
  • Akbostanci , E. 2002 . Dynamics of the Trade Balance: The Turkish J-curve . Emerging Markets Finance , 45 ( 5 ) : 53 – 73 .
  • Akhtar , S. and Malik , F. 2000 . Pakistan Performance vis a vis Its Major Trading Partners . Pakistan Development Review , 39 ( 1 ) : 37 – 50 .
  • Alexander , S. S. 1952 . Effects of Devaluation on a Trade Balance . International Monetary Fund Staff Papers , 2 ( 2 ) : 263 – 278 .
  • Alexander , S. S. 1959 . Effects of Devaluation: A Simplified Synthesis of Elasticities and Absorption Approaches . American Economic Review , 69 ( 49 ) : 21 – 42 .
  • Arndt , H. W. and Dorrance , G. 1987 . The J-curve . Australian Economic Review , 20 ( 11 ) : 9 – 19 .
  • Arora , S. , Bahmani-Oskooee , M. and Goswami , G. G. 2003 . Bilateral J-curve between India and Her Trading Partners . Applied Economics , 35 ( 9 ) : 1037 – 1041 .
  • Aziz , N. 2008 . The Role of Exchange Rate in Trade Balance: Empirics from Bangladesh , Birmingham , UK : University of Birmingham .
  • Baharumshah , A. 2001 . The Effect of Exchange Rate on Bilateral Trade Balance: New Evidence from Malaysia and Thailand . Asian Economic Journal , 15 ( 3 ) : 291 – 312 .
  • Bahmani-Oskooee , M. 1985 . Devaluation and the J curve: Some Evidence from LDCs . The Review of Economics and Statistics , 67 ( 3 ) : 500 – 504 .
  • Bahmani-Oskooee , M. 1991 . Is There a Long-Run Relation between the Trade Balance and the Real Effective Exchange Rate of LDCs? . Economics Letters , 36 ( 4 ) : 403 – 407 .
  • Bahmani-Oskooee , M. 1992 . More Evidence on the J-curve from LDCs . Journal of Policy Modeling , 14 ( 5 ) : 641 – 653 .
  • Bahmani-Oskooee , M. 1998 . Do Exchange Rates Follow a Random Walk Process in Middle Eastern Countries? . Economics Letters , 58 ( 3 ) : 339 – 344 .
  • Bahmani-Oskooee , M. 2001 . Nominal and Real Exchange Rates of Middle Eastern Countries and Their Trade Performance . Applied Economics , 33 ( 1 ) : 103 – 111 .
  • Bahmani-Oskooee , M. and Alse , J. 1994 . Short-Run versus Long-Run Effects of Devaluation: Error-Correction Modeling and Cointegration . Eastern Economic Journal , 20 ( 4 ) : 453 – 464 .
  • Bahmani-Oskooee , M. and Alse , J. 1995 . Is There Any Long-Run Relation between the Terms of Trade and Trade Balance? . Journal of Policy Modeling , 17 ( 2 ) : 199 – 205 .
  • Bahmani-Oskooee , M. and Cheema , J. 2009 . Short-Run and Long-Run Effects of Currency Depreciation on the Bilateral Trade Balance between Pakistan and Her Major Trading Partners . Journal of Economic Development , 34 ( 1 ) : 19 – 45 .
  • Bahmani-Oskooee , M. , Goswami , G. G. and Talukdar , B. K. 2005 . The Bilateral J-curve: Australia versus Her 23 Trading Partners . Australian Economic Papers , 44 ( 2 ) : 110 – 120 .
  • Bahmani-Oskooee , M. and Pourheydarian , M. 1991 . The Australian J-curve: A Reexamination . International Economic Journal , 5 ( 3 ) : 49 – 58 .
  • Bahmani-Oskooee , M and Ratha , A. 2004 . The J curve: A Literature Review . Applied Economics , 36 ( 13 ) : 1377 – 1398 .
  • Bahmani-Oskooee , M. and Ratha , A. 2010 . S-curve at the Commodity Level: Evidence from US-India Trade . The International Trade Journal , 24 ( 1 ) : 84 – 95 .
  • Bhattarai , D. K. and Armah , M. K. 2005 . The Effects of Exchange Rate on the Trade Balance in Ghana: Evidence from Cointegration Analysis , Cottingham , UK : Centre for Economic Policy Business School, University of Hull Cottingham .
  • Brahmasrene , T. 2002 . Exploring Real Exchange Rate Effects on Trade Balances in Thailand . Managerial Finance , 28 ( 11 ) : 16 – 27 .
  • Celik , S. and Kaya , H. 2010 . Real Exchange Rates and Bilateral Trade Dynamics of Turkey: Panel Cointegration Approach . Applied Economics Letters , 17 ( 8 ) : 791 – 795 .
  • Damoense , M. and Agbola , F. 2004 . Estimating the Long Run Effects of Exchange Rate Devaluation on the Trade Balance of South Africa , Callaghan , , Australia : University of Newcastle .
  • Dejong , D. N. , Nankervis , J. C. and Savin , N. E. 1992 . Integration versus Trend Stationarity in Time Series . Econometrica , 60 ( 2 ) : 423 – 433 .
  • Dickey , D. and Fuller , W. A. 1979 . Distribution of the Estimates for Autoregressive Time Series with Unit Root . Journal of the American Statistical Association , 74 ( 336 ) : 427 – 431 .
  • Dusasa , J. 2007 . Determinants of Malaysian Trade Balance: An ARDL Bound Testing Approach . Journal of Economic Cooperation , 28 ( 3 ) : 21 – 40 .
  • Elliot , G. , Rothenberg , T. J. and Stock , J. H. 1996 . Efficient Tests for an Autoregressive Unit Root . Econometrica , 64 ( 4 ) : 813 – 836 .
  • Felmingham , B. S. 1988 . Where Is the Australian J-curve? . Bulletin of Economic Research , 40 ( 1 ) : 43 – 56 .
  • Finance Ministry of Pakistan . 2009 . Economic Survey of Pakistan 2008 Islamabad , , Pakistan Ministry of Finance
  • Halicioglu , F. 2008 . The Bilateral J-curve: Turkey versus Her 13 Trading Partners . Journal of Asian Economics , 19 ( 3 ) : 236 – 243 .
  • Harberger , A. C. 1950 . Currency Depreciation, Income, and the Balance of Trade . The Journal of Political Economy , 58 ( 1 ) : 47 – 60 .
  • Harris , R. and Sollis , R. 2003 . Applied Time Series Modeling and Forecasting , West Sussex , , UK : Wiley .
  • Hasan , M. A. and Khan , A. H. 1994 . Impact of Devaluation on Pakistan's External Trade Balance: An Econometric Approach . The Pakistan Development Review , 33 ( 4 ) : 1205 – 1215 .
  • Hashem Pesaran , M. , Shin , Y. and Smith , R. J. 2001 . Bounds Testing Approaches to the Analysis of Level Relationships . Journal of Applied Econometrics , 16 ( 3 ) : 289 – 326 .
  • Herve , D. B. G. , Shen , Y. and Amed , A. 2010 . The Effects of Real Exchange Rate on Trade Balance in Cote d'Ivoire: Evidence from the Cointegration Analysis and Error-Correction Models , Shanghai , , China : Shanghai University .
  • Himarios , D. 1989 . Devaluations Improve the Trade Balance? The Evidence Revisited . Economic Inquiry , 40 ( 1 ) : 143 – 168 .
  • Johansen , S. and Juselius , K. 1990 . Maximum Likelihood Estimation and Inference on Cointegration—with Applications to the Demand for Money . Oxford Bulletin of Economics and Statistics , 52 ( 2 ) : 169 – 210 .
  • Jung , C. and Doroodian , K. 1998 . The Persistence of Japan's Trade Surplus . International Economic Journal , 12 ( 11 ) : 25 – 38 .
  • Kale , P. 2001 . Turkey's Trade Balance in the Short and the Long Run: Error Correction Modeling and Cointegration . The International Trade Journal , 15 ( 1 ) : 33 – 56 .
  • Karunarante , N. D. 1988 . Macro-Economic Determinants of Australia's Current Account, 1977–1986 . Weltwirtschaftliches Archiv , 124 ( 4 ) : 713 – 728 .
  • Kim , A. 2009 . An Empirical Analysis of Korea's Trade Imbalances with the US and Japan . Journal of the Asia Pacific Economy , 14 ( 3 ) : 211 – 226 .
  • Lal , A. and Lowinger , T. 2002 . The J-curve: Evidence from East Asia . Journal of Economic Integration , 17 ( 2 ) : 397 – 415 .
  • Marwah , K. and Klein , L. R. 1996 . Estimation of J-curves: United States and Canada . Canadian Journal of Economics , 29 ( 3 ) : 523 – 539 .
  • Meade , J. E. 1951 . The Balance of Payments , Oxford : Oxford University Press .
  • Mundell , R. A. 1968 . International Economics , New York : Macmillan .
  • Musila , J. W. and Newark , J. 2003 . Does Currency Devaluation Improve the Trade Balance in the Long Run? Evidence from Malawi . African Development Review , 15 ( 2 ) : 339 – 352 .
  • Narayan , P. K. 2005 . The Saving and Investment Nexus for China: Evidence from Cointegration Tests . Applied Economics , 37 ( 17 ) : 1979 – 1990 .
  • Narayan , P. K. 2006 . Examining the Relationship between Trade Balance and Exchange Rate: The Case of China's Trade with the USA . Applied Economics Letters , 13 ( 8 ) : 507 – 510 .
  • Narayan , P. K. and Narayan , S. 2004 . The J-curve: Evidence from Fiji . International Review of Applied Economics , 18 ( 3 ) : 369 – 380 .
  • Ng , S. and Perron , P. 2001 . Lag Length Selection and the Construction of Unit Root Test with Good Size and Power . Econometrica , 69 ( 6 ) : 1519 – 1554 .
  • Onafowora , O. 2003 . Exchange Rate and Trade Balance in East Asia: Is There a J-curve? . Economics Bulletin , 5 ( 18 ) : 1 – 13 .
  • Rawlins , G. and Praveen , J. 2000 . Devaluation and the Trade Balance: The Recent Experiences of Selected African Countries , Montclair , NJ : Center for Economic Research on Africa, School of Business .
  • Rincon , H. 1999 . Testing the Short-run and Long-run Exchange Rate Effects on Trade Balance: The Case of Columbia . Revista ESPE , 35 ( 3 ) 87 – 121 .
  • Rose , A. K. and Yellen , J. L. 1989 . Is There a J-curve? . Journal of Monetary Economics , 24 ( 1 ) : 53 – 68 .
  • Shahbaz , M. 2008 . Nominal and Real Devaluation Nexus and Two Econometric Approaches for Pakistan . International Journal of Economic Perspective , 2 ( 1 ) : 38 – 45 .
  • Shahbaz , M. 2009 . On Nominal and Real Devaluations Relation: An Econometric Evidence for Pakistan . International Journal of Applied Econometrics and Quantitative Studies , 9 ( 1 ) : 86 – 108 .
  • Shahbaz , M , Awan , R. and Ahmad , K. 2011 . The Exchange Value of the Pak-Rupee and Pak-Trade Balance: An ARDL Bounds Testing Approach . Journal of Developing Areas , 44 ( 2 ) : 69 – 93 .
  • Sinha , D. 2001 . A Note on Trade Elasticities in Asian Countries . The International Trade Journal , 15 ( 2 ) : 221 – 237 .
  • Stucka , T. 2004 . The Effects of Exchange Rate Change on the Trade Balance in Croatia. IMF Working Paper No. 65 , Washington , DC : IMF .
  • Upadhyaya , K. P. and Dhakal , D. 1997 . Devaluation and the Trade Balance: Estimating the Long Run Effect . Applied Economic Letters , 4 ( 6 ) : 343 – 345 .
  • Yusoff , M. B. 2010 . The Effects of Real Exchange Rate on Trade Balance and Domestic Output: A Case of Malaysia . The International Trade Journal , 24 ( 2 ) : 209 – 226 .

Reprints and Corporate Permissions

Please note: Selecting permissions does not provide access to the full text of the article, please see our help page How do I view content?

To request a reprint or corporate permissions for this article, please click on the relevant link below:

Academic Permissions

Please note: Selecting permissions does not provide access to the full text of the article, please see our help page How do I view content?

Obtain permissions instantly via Rightslink by clicking on the button below:

If you are unable to obtain permissions via Rightslink, please complete and submit this Permissions form. For more information, please visit our Permissions help page.