Furlan, Benjamin, Gächter, Martin, Krebs, Bob, Oberhofer, Harald. 2016. Democratization and real exchange rates. Scottish Journal of Political Economy 63 (2), 216-242.
BibTeX
Abstract
In this article, we combine two so far separate strands of the economic literature and argue that democratization leads to a real exchange rate appreciation. We test this hypothesis empirically for a sample of countries observed from 1980 to 2007 by combining a difference-in-difference approach with propensity score matching estimators. Our empirical results reveal a strong and significant finding: democratization causes real exchange rates to appreciate. Consequently, the ongoing process of democratization observed in many parts of the world is likely to reduce exchange rate distortions.
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Status of publication | Published |
---|---|
Affiliation | WU |
Type of publication | Journal article |
Journal | Scottish Journal of Political Economy |
Citation Index | SSCI |
WU Journalrating 2009 | A |
WU-Journal-Rating new | VW-D |
Language | English |
Title | Democratization and real exchange rates |
Volume | 63 |
Number | 2 |
Year | 2016 |
Page from | 216 |
Page to | 242 |
Reviewed? | Y |
DOI | http://dx.doi.org/10.1111/sjpe.12088 |
Associations
- People
- Oberhofer, Harald (Details)
- External
- Furlan, Benjamin (Paris Lodron University of Salzburg, Austria)
- Gächter, Martin (OeNB - Oesterreichische Nationalbank, Austria)
- Krebs, Bob (University of Innsbruck, Austria)
- Organization
- Department of Economics (Badinger) (Details)