Real exchange rate and structural change: theory and empirical evidence

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Main Author: Hugo C. Iasco Pereira
Format: Artículo científico
Language:en
Published: Universidad Nacional Autónoma de México 2022
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author Hugo C. Iasco Pereira
author_facet Hugo C. Iasco Pereira
contents Real exchange rate and structural change: theory and empirical evidence Hugo C. Iasco Pereira Fabrício J. Missio Economía y Finanzas industrialization Real exchange rate manufacturing sectors This paper analyses the influence of the real exchange rate (rer) on the productive structure. A contribution of this article is to sys-tematize and advance in the identification of the new transmission mechanisms through which the rer affects the productive structure. We show how these effects can be incorporated into the balance of payments constrained growth model. On the empirical level, the article assesses the association between the rer and structural change. A series of regressions was performed in a panel setting for various countries, using aggregated and sectorial databases. The estimates using the aggregated database suggest that a competitive rer fa-vours manufacturing. Regressions also indicate that a competitive rer is associated with a more diversified and complex productive structure. In turn, the estimates using a sectoral database point out that a competitive rer expands manufacturing activities, and this effect is associated with sectoral particularities. 2022 artículo científico 0185-1667 https://www.redalyc.org/articulo.oa?id=60175438005 https://www.redalyc.org/journal/601/60175438005/ https://www.redalyc.org/journal/601/60175438005/html/ https://www.redalyc.org/journal/601/60175438005/60175438005.epub https://www.redalyc.org/journal/601/60175438005/movil 10.22201/fe.01851667p.2022.320.79285 en http://www.redalyc.org/revista.oa?id=601 Investigación Económica application/pdf Universidad Nacional Autónoma de México Investigación Económica (México) Num.320 Vol.LXXXI
format Artículo científico
id redalyc_60175438005
institution Redalyc
language en
publishDate 2022
publisher Universidad Nacional Autónoma de México
spellingShingle Real exchange rate and structural change: theory and empirical evidence
Hugo C. Iasco Pereira
Economía y Finanzas
industrialization
Real exchange rate
manufacturing sectors
Real exchange rate and structural change: theory and empirical evidence Hugo C. Iasco Pereira Fabrício J. Missio Economía y Finanzas industrialization Real exchange rate manufacturing sectors This paper analyses the influence of the real exchange rate (rer) on the productive structure. A contribution of this article is to sys-tematize and advance in the identification of the new transmission mechanisms through which the rer affects the productive structure. We show how these effects can be incorporated into the balance of payments constrained growth model. On the empirical level, the article assesses the association between the rer and structural change. A series of regressions was performed in a panel setting for various countries, using aggregated and sectorial databases. The estimates using the aggregated database suggest that a competitive rer fa-vours manufacturing. Regressions also indicate that a competitive rer is associated with a more diversified and complex productive structure. In turn, the estimates using a sectoral database point out that a competitive rer expands manufacturing activities, and this effect is associated with sectoral particularities. 2022 artículo científico 0185-1667 https://www.redalyc.org/articulo.oa?id=60175438005 https://www.redalyc.org/journal/601/60175438005/ https://www.redalyc.org/journal/601/60175438005/html/ https://www.redalyc.org/journal/601/60175438005/60175438005.epub https://www.redalyc.org/journal/601/60175438005/movil 10.22201/fe.01851667p.2022.320.79285 en http://www.redalyc.org/revista.oa?id=601 Investigación Económica application/pdf Universidad Nacional Autónoma de México Investigación Económica (México) Num.320 Vol.LXXXI
title Real exchange rate and structural change: theory and empirical evidence
topic Economía y Finanzas
industrialization
Real exchange rate
manufacturing sectors
url https://www.redalyc.org/articulo.oa?id=60175438005
https://www.redalyc.org/journal/601/60175438005/
https://www.redalyc.org/journal/601/60175438005/html/
https://www.redalyc.org/journal/601/60175438005/60175438005.epub
https://www.redalyc.org/journal/601/60175438005/movil