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Exchange Rate Overvaluation and Trade Protection: Lessons from Experience

In: Trade Policies for Development and Transition

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  • Howard J. Shatz
  • David G. Tarr

Abstract

The following sections are included:IntroductionThe Problems of an Overvalued Exchange Rate—Theory and Cross-Country Econometric EvidenceCase Studies of the Effects of OvervaluationConclusionReferences

Suggested Citation

  • Howard J. Shatz & David G. Tarr, 2017. "Exchange Rate Overvaluation and Trade Protection: Lessons from Experience," World Scientific Book Chapters, in: Trade Policies for Development and Transition, chapter 5, pages 115-127, World Scientific Publishing Co. Pte. Ltd..
    • Handle: RePEc:wsi:wschap:9789813108448_0005
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    15. David G. Tarr, 2017. "The Welfare Costs of Price Controls for Cars and Color Televisions in Poland: Contrasting Estimates of Rent-Seeking from Recent Experience," World Scientific Book Chapters, in: Trade Policies for Development and Transition, chapter 11, pages 241-269, World Scientific Publishing Co. Pte. Ltd..
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    2. Anderson, Kym & Kurzweil, Marianne & Martin, Will & Sandri, Damiano & Valenzuela, Ernesto, 2008. "Measuring distortions to agricultural incentives, revisited," World Trade Review, Cambridge University Press, vol. 7(4), pages 675-704, October.
    3. Turan Subasat, 2008. "Exchange Rate Policies: Fact or Fiction in the Rise of High Performance Asian Economies," Working Papers 0802, Izmir University of Economics.
    4. Lavinia Cristescu, 2009. "The Effect of Capital Market Liberalization in Eastern Europe: Economic Growth or Financial Crisis," Advances in Economic and Financial Research - DOFIN Working Paper Series 30, Bucharest University of Economics, Center for Advanced Research in Finance and Banking - CARFIB.
    5. Shehu Usman Rano Aliyu, 2010. "Exchange rate volatility and export trade in Nigeria: an empirical investigation," Applied Financial Economics, Taylor & Francis Journals, vol. 20(13), pages 1071-1084.
    6. Burton A. Abrams & Russell F. Settle, 2007. "Do Fixed Exchange Rates Fetter Monetary Policy? A Credit View," Eastern Economic Journal, Eastern Economic Association, vol. 33(2), pages 193-205, Spring.
    7. Zelealem Yiheyis, 2006. "The Effects of Devaluation on Aggregate Output: Empirical Evidence from Africa," International Review of Applied Economics, Taylor & Francis Journals, vol. 20(1), pages 21-45.
    8. Pavel Kadochnikov, 2006. "An Analysis of Import Substitution in Russia after the 1998 Crisis," Research Paper Series, Gaidar Institute for Economic Policy, issue 95, pages 148-148.
    9. Dubas, Justin, 2012. "Exchange Rate Misalignment and Economic Growth," MPRA Paper 63417, University Library of Munich, Germany.
    10. Howard J. Shatz, 2001. "Expanding Foreign Direct Investment in the Andean Countries," CID Working Papers 64A, Center for International Development at Harvard University.
    11. Lan Huong Hoang, 2016. "The Role of Exchange Rate in Supporting Trade Balance in Vietnam," IHEID Working Papers 16-2016, Economics Section, The Graduate Institute of International Studies.
    12. Alvaro Forteza & Daniel Buquet & Mario Ibarburu & Jorge Lanzaro & Andrés Pereyra & Eduardo Siandra & Marcel Vaillant, 2003. "Understanding reform. The Uruguayan case," Documentos de Trabajo (working papers) 0603, Department of Economics - dECON.
    13. J. Love & E. Turner, 2001. "Exports, domestic policy and world markets: a panel study," Journal of International Development, John Wiley & Sons, Ltd., vol. 13(5), pages 615-627.
    14. Kym Anderson & Johan Swinnen, 2008. "Distortions to Agricultural Incentives in Europe's Transition Economies," World Bank Publications - Books, The World Bank Group, number 6502, December.
    15. Bilin Neyapti, 2010. "Macroeconomic Institutions and Development," Books, Edward Elgar Publishing, number 12960.
    16. Arthur Korus, 2016. "Currency Overvaluation and R&D Spending," EIIW Discussion paper disbei218, Universitätsbibliothek Wuppertal, University Library.
    17. Mulu Gebreyesus & Alekaw Kebede, 2017. "Ethiopia’s export promotion and the misalignment of the tariff and exchange rate regimes," Working Papers 019, Policy Studies Institute.
    18. Zarei, Samira, 2020. "Analyzing the Asymmetric Effects of Inflation and Exchange Rate Misalignments on the Petrochemical Stock index: The Case of Iran," MPRA Paper 99101, University Library of Munich, Germany.

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    More about this item

    Keywords

    International Trade Policy; Developing Countries; Transition Countries; Growth; Poverty; Environment; Multilateral; Adjustment Costs; Autos and Steel;
    All these keywords.

    JEL classification:

    • F13 - International Economics - - Trade - - - Trade Policy; International Trade Organizations

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