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Author
Šimáková Jana (Silesian University in Opava; School of Business Administration in Karvina)
Title
The Exchange Rate as a Determinant of the Development of Foreign Trade in the Agri-food Industry in the Visegrad Region
Source
Forum Scientiae Oeconomia, 2021, vol. 9, no. 2, s. 5-21, tab., wykr., bibliogr. 29 poz.
Keyword
Kurs walutowy, Handel zagraniczny, Przemysł rolno-spożywczy
Exchange rates, Foreign trade, Agri-food industry
Note
summ.
This contribution was supported by the Internal Grant System of Silesian University in Opava [project IGS/19/2019]. Suchsupport is gratefully acknowledged.
Country
Kraje Grupy Wyszehradzkiej
Visegrad Group countries
Abstract
The majority of empirical studies assume the symmetric effects of exchange rate development on the trade balance. However, we follow more recent studies to show that there are distinctions to be made between the directions of changes inthe exchange rate. In this study, we assume that the effects can be asymmetrical in certain branches of the agri-food industry. This paper aims to evaluate the asymmetric effects of the exchange rate on foreign trade in the agri-food sector in the Visegrad region. For this purpose, we employ a non-linear auto-regressive distributed lag approach to incorporate the assumed asymmetries of exchange rate changes in a model of the J-curve pattern in the case of Czechia, Hungary, and Poland.The dataset on the SITC two-digit level covers the period between 2000 and 2018. The paper shows that there is a clear difference in the effects of appreciation and depreciation. The difference is not only in the direction, but also in the intensity, of the effects of exchange rate changes on the trade balances of food and live animals, dairy products and birds' eggs, and animal oils and fats in Czechia; meat and preparations in Hungary; sugar, sugar preparations and honey and beverages in Poland. (original abstract)
Accessibility
The Library of Warsaw School of Economics
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Bibliography
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ISSN
2300-5947
Language
eng
URI / DOI
http://dx.doi.org/10.23762/FSO_VOL 9_NO 2_1
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