KOREA’S INPAYMENTS AND OUTPAYMENTS WITH THE REST OF THE WORLD: IS THERE ROOM FOR CURRENCY MANIPULATION?
Journal Title: Asian Economic and Financial Review - Year 2015, Vol 5, Issue 1
Abstract
In estimating the well-known Marshall-Lerner condition, researchers have used trade volume data between one country and rest of the world. To reduce aggregation bias in these studies, it is proposed to use trade data at commodity level. However, due to lack of import and export prices to obtain trade volume at commodity level, researchers have used trade values instead. These value models are used to assess the direct impact of currency depreciation on inpayments and outpayments of an industry. In this paper we assess the sensitivity of inpayments and outayments of 148 Korean industries that trade with the rest of the world. We were able to identify 20 Korean exporting industries and 38 importing industries that will benefit from won depreciation in the long run.
Authors and Affiliations
Mohsen Bahmani-Oskooee*| The Center for Research on International Economics and Department of Economics, The University of Wisconsin-Milwaukee, Milwaukee, United States, Ruixin Zhang| School of Business, Beijing Normal University Beijing, China
Keywords
Related Articles
- EP ID EP2147
- DOI -
- Views 423
- Downloads 27
THE IMPACT OF TRANSFERRING MILITARY CONFRONTATION TO ECONOMIC COOPERATION FOR ECONOMIC GROWTH - ASEAN PANEL ANALYSIS
The Association of Southeast Asian Nations (ASEAN) is one of the three major economic regions besides the North American Free Trade Area (NAFTA) and the European Union (EU). In addition to regional economic integration,...
GLOBALIZATION AND UNEMPLOYMENT IN PAKISTAN
This study analyzes the impact of globalization on unemployment in Pakistan, using annual data for the period 1980 to 2013. Using the ARDL econometric framework, we find that the economic, political and social aspects of...
GENDER AND SPATIAL EDUCATIONAL ATTAINMENT GAPS IN TURKEY
This paper aims to investigate differences and similarities between and among the seven regions as well as the developed and the less developed provinces in Turkey for their gender gaps in educational attainment of the l...
NON-ENERGY IMPORT DEMAND FUNCTION IN TURKEY: NEW EVIDENCE
This study estimates the non-energy demand function of Turkey in the period of 2003:Q1-2015:Q3. We estimated a long run and a short run model of imports, based on the traditional import approach. Then we analyzed income...
IS PROTECTIONISM RATIONAL UNDER THE FINANCIAL CRISIS? ANALYSIS FROM THE PERSPECTIVE OF INTERNATIONAL POLITICAL RELATIONS
Protectionism against economic globalization (free trade and FDI) always surges in the financial crises as the pressure from unemployment mounts. This paper aims to assess the rationality of the protectionism. Instead of...