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The impact of trade liberalisation on the dynamics of the real exchange rate in Algeria

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  • Mahieddine Adnan Ghecham

Abstract

This paper reviews the impact of trade liberalisation on dynamic of real exchange rate. This is investigated while applying cointegration analysis with use of VAR and error correction models. Unlike the previous studies, the results of this paper show that liberalisation of trade in Algeria could lead to real appreciation of the real exchange rate, hampering economic diversification efforts of the economy.

Suggested Citation

  • Mahieddine Adnan Ghecham, 2015. "The impact of trade liberalisation on the dynamics of the real exchange rate in Algeria," International Journal of Economic Policy in Emerging Economies, Inderscience Enterprises Ltd, vol. 8(3), pages 262-279.
    • Handle: RePEc:ids:ijepee:v:8:y:2015:i:3:p:262-279
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