D 2017

Asymmetric Effects of Exchange Rate Changes on the Czechia's Foreign Trade: Evidence from Industry Data

ŠIMÁKOVÁ, Jana

Basic information

Original name

Asymmetric Effects of Exchange Rate Changes on the Czechia's Foreign Trade: Evidence from Industry Data

Authors

ŠIMÁKOVÁ, Jana (703 Slovakia, guarantor, belonging to the institution)

Edition

Bratislava, Slovensko, Proceedings of the 9th International Conference of Currency, Banking and International Finance, p. 247-254, 8 pp. 2017

Publisher

Ekonóm

Other information

Language

English

Type of outcome

Stať ve sborníku

Field of Study

50202 Applied Economics, Econometrics

Confidentiality degree

není předmětem státního či obchodního tajemství

Publication form

printed version "print"

RIV identification code

RIV/47813059:19520/17:00010988

Organization unit

School of Business Administration in Karvina

ISBN

978-80-225-4362-0

UT WoS

000411851600032

Keywords in English

exchange rates; foreign trade; asymmetric effects
Změněno: 7/2/2020 10:58, RNDr. Daniel Jakubík

Abstract

V originále

Previous studies of the effects of exchange rate changes on Czechia's trade balance have assumed exchange rate changes to have symmetric effects on the trade balance or assumed its linear adjustment. In this paper, we distinguish between the depreciation and appreciation to show that the effects at the industry level are in fact asymmetrical in most industries for Czechia's bilateral trade with its most important trading partners. Therefore, the aim of this paper is to evaluate the asymmetric effects of CZK/EUR exchange rate on the most important segment of Czechia´s foreign trade. The asymmetry cointegration approach, which introduces nonlinearity into the model specification, reveals a more significant impact of the exchange rate on commodity trade between Czechia and its most important trading partner than a more standard model that imposes symmetry.