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Determinants of Exchange Rate Practices in the MENA Countries: Some Further Empirical Results

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  • Sfia M. Daly

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  • Mouley Sami
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    Abstract

    This paper analyses the determinants of exchange rate practices in 15 MENA countries for the 1977- 2007 period placing special emphasis on structural and macroeconomic explanations. We use three different exchange rate regime classifications in order to avoid potentially misleading specification. Even though the empirical results using the de facto classifications are very different from those obtained from the de jure specification, we find that international reserves play a major role in determining exchange rate practices in the MENA countries.

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    File URL: http://www.wdi.umich.edu/files/Publications/WorkingPapers/wp952.pdf
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    Bibliographic Info

    Paper provided by William Davidson Institute at the University of Michigan in its series William Davidson Institute Working Papers Series with number wp952.

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    Length: pages
    Date of creation: 01 Jan 2009
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    Handle: RePEc:wdi:papers:2009-952

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    Keywords: Exchange rate regimes; MENA countries; ordered Probit model.;

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