Korea Trade Review (무역학회지)

Korea Trade Research Association (한국무역학회)
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A Study on the Exchange Rate Misalignment and Economic Performance of Korea and Japan Using Nonlinear ARDL

비선형 자귀회귀모형을 이용한 한국과 일본의 환율괴리와 경제적성과 비교영향 분석

  • Park, Eun-Yub (Digital Business Research Center, Hoseo University) ;
  • Kim, Young-Jae (Deparment of Economics, Pusan National University)
  • 박은엽 (호서대학교 디지털비즈니스연구센타) ;
  • 김영재 (부산대학교 경제학부)
  • Received : 2020.12.04
  • Accepted : 2020.12.24
  • Published : 2020.12.31
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Abstract

This study analyzes the effect of misalignment exchange rate on economic performance asymmetrically. The results show that the over valuation of the real effective exchange rate of won has a significant positive relationship with economic performance. The under valuation of the real effective exchange rate of won has a positive effect on economic performance, but it is not significant. This is due to the high ratio of re-exports of intermediate goods despite Korea being an export-oriented country. In Japan, the undervaluation of the exchange rate has a negative impact on economic performance.

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References

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