THE EFFECT OF DEVALUATION ON THE BALANCE OF TRADE FOR A FEW OF THE DEVELOPING COUNTRIES, INCLUDING IRAN, BY USING ELASTICITIES APPROACH

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KAVAND A.A.

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Journal: ECONOMIC RESEARCH REVIEW Year:2002 | Volume:2 | Issue:5 Page(s): 185-185

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Title

THE EFFECT OF DEVALUATION ON THE BALANCE OF TRADE FOR A FEW OF THE DEVELOPING COUNTRIES, INCLUDING IRAN, BY USING ELASTICITIES APPROACH

Author(s)

KAVAND A.A. | Issue Writer Certificate

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Abstract

The Effect of devaluation on the balance of trade has been examined I in 12 developing countries during 1968-95. The results show that Marshall-Lerner condition was satisfied in long term. The countries which experienced the condition in short term witnessed an improvement in their trade balances, too. The factors which may be significant are reduction in real exchange rate, effectiveness of nominal devaluation, compatible monetary and fiscal policies and absence of J-curve effect. In contrast the countries in which the conditions were not satisfied, faced with deterioration in their terms of trade. This happened because of rising real exchange rate, ineffectiveness of nominal devaluation and incompatible monetary and fiscal policies.

Cites

THE IMPACT OF EXCHANGE RATE ON THE IRANIAN NON-OIL EXPORT TO THE SELECTED MIDDLE EAST COUNTRIES

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APA: Copy

KAVAND, A.A.. (2002). THE EFFECT OF DEVALUATION ON THE BALANCE OF TRADE FOR A FEW OF THE DEVELOPING COUNTRIES, INCLUDING IRAN, BY USING ELASTICITIES APPROACH. ECONOMIC RESEARCH REVIEW, 2(5), 185-185. SID. https://sid.ir/paper/67024/en

Vancouver: Copy

KAVAND A.A.. THE EFFECT OF DEVALUATION ON THE BALANCE OF TRADE FOR A FEW OF THE DEVELOPING COUNTRIES, INCLUDING IRAN, BY USING ELASTICITIES APPROACH. ECONOMIC RESEARCH REVIEW[Internet]. 2002;2(5):185-185. Available from: https://sid.ir/paper/67024/en

IEEE: Copy

A.A. KAVAND, “THE EFFECT OF DEVALUATION ON THE BALANCE OF TRADE FOR A FEW OF THE DEVELOPING COUNTRIES, INCLUDING IRAN, BY USING ELASTICITIES APPROACH,” ECONOMIC RESEARCH REVIEW, vol. 2, no. 5, pp. 185–185, 2002, [Online]. Available: https://sid.ir/paper/67024/en

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