Please use this identifier to cite or link to this item: https://hdl.handle.net/1959.11/11447
Title: J-curve disparity between the goods sector and the services sector: evidence from Australia
Contributor(s): Wijeweera, Albert (author); Dollery, Brian E (author)
Publication Date: 2013
DOI: 10.1080/13504851.2012.707765
Handle Link: https://hdl.handle.net/1959.11/11447
Abstract: The J-curve effect phenomenon suggests that the currency devaluation would worsen the trade balance in the short run, but improve it in the long run. This article uses quarterly Australian data over the period 1988 to 2011 to examine whether J-curve effects are different between the two main components of the trade account: the goods sector and the services sector. Using the bound testing approach to cointegration and error correction modelling, we find some evidence to support the J-curve phenomenon, but the impact of real exchange rate on the trade account seems complex. While the services sector displays a J-curve effect, the goods sector response is quite the opposite: it has a positive response in the short run, but a weak negative response in the long run.
Publication Type: Journal Article
Source of Publication: Applied Economics Letters, 20(5), p. 452-456
Publisher: Routledge
Place of Publication: United Kingdom
ISSN: 1466-4291
1350-4851
Field of Research (FOR): 140207 Financial Economics
Peer Reviewed: Yes
HERDC Category Description: C1 Refereed Article in a Scholarly Journal
Statistics to Oct 2018: Visitors: 214
Views: 216
Downloads: 0
Appears in Collections:Journal Article

Files in This Item:
2 files
File Description SizeFormat 
Show full item record

SCOPUSTM   
Citations

4
checked on Nov 30, 2018

Page view(s)

100
checked on Mar 4, 2019
Google Media

Google ScholarTM

Check

Altmetric

SCOPUSTM   
Citations

 

WEB OF SCIENCETM
Citations

 

Items in Research UNE are protected by copyright, with all rights reserved, unless otherwise indicated.