Study: devalue raise the value of exports 09/10/2015
Study: devalue raise the value of exports
BAGHDAD - and babysit - concluded a recent study issued by the International Monetary Fund to reduce the real exchange rate of the currency of any country by 10% raises real net exports an average of 1.5% of GDP.
The study confirmed that the relationship remains strong between the changes of exchange rates and trade, relying on the follow-up results of many developed and emerging economies in the world during the last three decades, pointing out that although mired emergence of the impact of the devaluation on the volume of exports and a long time, however, a great deal of this effect it appears in the first year of the reduction.
The reported study exchange rate movements during the last period where the dollar by more than 10% since mid-2014 the price rose, while the euro fell by more than 10% since the beginning of 2014 and the Japanese yen fell more than 30% since mid-2012, as the exchange rates seen in a number of emerging and developing economies, sharp changes.
It showed that the high price of the dollar for nearly two years against a decline in prices of the Japanese yen and the euro contributed to the redistribution of exports from the United States and the economies that are affected by its currency to the dollar in favor of Japan and the European Union economies and the euro currency Palin affected.