The effects of government spending on real exchange rates

We document new facts about the effects of changes in government purchases on the real exchange rate, consumption, and current accounts in both advanced and ...

The Effects of Government Spending on Real Exchange Rates

We document new facts about the effects of changes in government purchases on the real exchange rate, consumption, and current accounts in both advanced and ...

After an increase in government spending of 1 percent of GDP, the real exchange rate appreciates by over 3 percent on impact and up to 5 percent two years after ...

The Effects of Government Spending on Real Exchange Rates

THE EFFECTS OF GOVERNMENT SPENDING ON REAL EXCHANGE RATES: EVIDENCE FROM MILITARY SPENDING PANEL DATA. Wataru Miyamoto. Bank of Canada. Thuy Lan Nguyen. Santa ...

The Effects of Government Spending on Real Exchange Rates

While an increase in government purchases causes real exchange rates to appreciate and increases consumption significantly in developing countries, it causes ...

Government Spending and the Real Exchange Rate - ifo Institut

Informed by our model analysis, we further probe into the transmission mechanism and con- dition the effects of fiscal shocks on economic slack, defined as a ...

The effects of government spending on real exchange rates - EconStor

While an increase in government purchases causes real exchange rates to appreciate and increases consumption significantly in developing countries, it causes ...

Government Spending and the Real Exchange Rate - Benjamin Born

Estimates that fail to distinguish between the effects of positive and negative shocks are subject to a “depreciation bias”. Keywords: downward nominal wage ...

The effects of government spending on consumption and the real ...

With complete asset markets, the ratio of the marginal utilities of consumption across countries is tied to the real exchange rate, which ...

The Effects of Government Spending on Real Exchange Rates

While an increase in government purchases causes real exchange rates to appreciate and increases consumption significantly in developing ...

The Effects of Government spending on Real Exchange rates

[Show full abstract] effects on fiscal balances. The results suggest that an expansionary fiscal policy shock improves the current account and depreciates the ...

The effects of government spending on real exchange rates

By Wataru Miyamoto, Thuy Lan Nguyen and Viacheslav Sheremirov; Abstract: Using panel data on military spending for 125 countries, ...

[PDF] The Effects of Government Spending on Real Exchange Rates

Using panel data on military spending for 125 countries, we document new facts about the effects of changes in government purchases on the real exchange ...

The Effects of Government Spending on Real Exchange Rates

Using panel data on military spending for 125 countries, we document new facts about the effects of changes in government purchases on the ...

Government expenditure and equilibrium real exchange rates

Recent theoretical and empirical studies have considered only the effects of government spending through the resource-withdrawal channel. We solve for the ...

Explaining the Effects of Government Spending Shocks on ...

As a result the real exchange rate is unperturbed by the fiscal shock. With home bias, the relative price of domestically produced goods in terms of foreign ...

How does government spending affect exchange rates?

The direction of the response of the exchange rate is consistent with basic macroeconomic theory; in an economy with a flexible exchange rate, ...

Real Exchange Rate Appreciation in Emerging Markets: Can Fiscal ...

government spending—whether tax or debt financed—will result in a real appreciation if skewed toward nontradable goods. The effect of public investment, on the ...

Accounting for the Effects of Fiscal Policy Shocks on Exchange ...

Expansionary fiscal measures result in an appreciation of the real exchange rate and an increase in markup for developing countries, whereas ...

The effects of government spending shocks on real exchange rate i...

While government investment shock depreciates real exchange rate on impact insignificantly, government consumption shock appreciates real ...