The Political Economics Side of the J-Curve
About twenty years ago, an article by van der Ploeg analysed the implications of the J-curve effect for the political business cycle in a small open economy [van der Ploeg (1989c)]. It was then shown that a sudden jump on the exchange rates in the election day should be observed if the government, in order to maximise its popularity, explores a J-curve effect. As a way of celebrating this work, that should have been more influential, it is presented in the paper a simulation study, which confirms that exchange rate overvaluation result a la van der Ploeg.
|Date of creation:||2008|
|Date of revision:|
|Contact details of provider:|| Postal: |
Phone: + 351 266 74 08 94
Fax: + 351 266 74 24 94
Web page: http://www.decon.uevora.pt
More information through EDIRC
When requesting a correction, please mention this item's handle: RePEc:evo:wpecon:02_2008. 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: (Maria Aurora Murcho Galego)
If references are entirely missing, you can add them using this form.