•  
  •  
 
Bulletin of Monetary Economics and Banking

Document Type

Article

Abstract

This study examines the relationship between trade openness and exchange rate volatility. We use panel data of 52 countries and document trade openness has a negative and statistically significant effect on exchange rate volatility. The second explanatory variable considered in the model is money supply shock which is found to have a positive and statistically significant effect on exchange rate volatility. Our results survive battery of robustness checks.

First Page

237

Last Page

254

Share

COinS