Despite the best efforts of economists, a basic paradox as to the impact of exchange rate
volatility on trade flows remains unresolved at both the theoretical and empirical level. This …

Purpose–Since the last review article by McKenzie, the literature has experienced a surge in
the number of empirical articles. These new contributions, coupled with those that were …

One of the issues that have received considerable attention in the comparison of the
properties of alternative exchange rate regimes is the effect of exchange rate risk on the …

The effect of exchange rate volatility on trade flows was examined by a 1984 IMF study on G-
7 countries. Over the past two decades, many developments in the world economy, such as …

EXCHANGE RATE VOLATILITY AND TRADE Page 1 Bank of Canada Banque du Canada
Working Paper 94-5 / Document de travail 94-5 EXCHANGE RATE VOLATILITY AND …

This paper reviews the literature dealing with the effects of exchange rate volatility on trade.
The overall evidence is best characterized as mixed as the results are sensitive to the …

T HE VOLATILITY, frequency, and erratic pattern of exchange rate movements witnessed
since the beginning of generalized floating have led to widespread interest in the nature and …

What is the effect of nominal exchange rate variability on trade? I argue that the methods
conventionally used to answer this perennial question are plagued by a variety of sources of …

There has long been a concern over the volatility of exchange-rates and their impact on the
volume of foreign trade.'However, very little attention has been paid to the choice of an …

This paper examines the impact of exchange rate volatility on the trade flows of the G-7
countries in the context of a multivariate error-correction model. The error-correction models …