IDEAS home Printed from https://ideas.repec.org/
MyIDEAS: Login to save this article or follow this journal

Nominal and real effective exchange rates for Southern African Development Community countries over the period 1980-2004: implications for the expansion of the Common Monetary Area

  • Josue Mbonigaba
  • Merle Holden

This paper computes both the nominal effective exchange rate (NER) and the real effective exchange rate (RER) for Southern African Development Community (SADC) countries for the period 1980-2004 with a view to identifying those countries that could join the Common Monetary Area (CMA) in the future. The NER and RER variations are used to analyse the suitability of non-CMA SADC countries for membership in the CMA. Variation in the NER suggests an expansion of the CMA to include Botswana and Malawi, while variation in the RER suggests an expansion of the CMA to Mauritius, Botswana and Seychelles. As suggested in the theory developed by Melitz, while the RER variation criterion should be more expansionist than variation in the NER, the RER-based expansion - as this study shows - does not necessarily include all countries suggested by the NER-based expansion.

If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.

File URL: http://www.tandfonline.com/doi/abs/10.1080/03768350902899546
Download Restriction: Access to full text is restricted to subscribers.

As the access to this document is restricted, you may want to look for a different version under "Related research" (further below) or search for a different version of it.

Article provided by Taylor & Francis Journals in its journal Development Southern Africa.

Volume (Year): 26 (2009)
Issue (Month): 2 ()
Pages: 241-254

as
in new window

Handle: RePEc:taf:deveza:v:26:y:2009:i:2:p:241-254
Contact details of provider: Web page: http://www.tandfonline.com/CDSA20

Order Information: Web: http://www.tandfonline.com/pricing/journal/CDSA20

No references listed on IDEAS
You can help add them by filling out this form.

This item is not listed on Wikipedia, on a reading list or among the top items on IDEAS.

When requesting a correction, please mention this item's handle: RePEc:taf:deveza:v:26:y:2009:i:2:p:241-254. See general information about how to correct material in RePEc.

For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Michael McNulty)

If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

If references are entirely missing, you can add them using this form.

If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.

If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.

Please note that corrections may take a couple of weeks to filter through the various RePEc services.

This information is provided to you by IDEAS at the Research Division of the Federal Reserve Bank of St. Louis using RePEc data.