Non-linear relationship between real commodity price volatility and real effective exchange rate: The case of commodity-exporting countries

The aim of this paper is to contribute to the existing literature by exploring the relationship between the real commodity price volatilities and the real effective exchange rate (REER) of commodity-exporting countries, taking into account the transition variable of financial market integration. To...

وصف كامل

محفوظ في:
التفاصيل البيبلوغرافية
المؤلف الرئيسي: Boubakri, Salem (author)
مؤلفون آخرون: Guillaumin, Cyriac (author), Silanine, Alexandre (author)
منشور في: 2019
الوصول للمادة أونلاين:http://hdl.handle.net/20.500.12458/351
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author Boubakri, Salem
author2 Guillaumin, Cyriac
Silanine, Alexandre
author2_role author
author
author_facet Boubakri, Salem
Guillaumin, Cyriac
Silanine, Alexandre
author_role author
dc.creator.none.fl_str_mv Boubakri, Salem
Guillaumin, Cyriac
Silanine, Alexandre
dc.date.none.fl_str_mv 2019-03-27T16:15:12Z
2019-03-27T16:15:12Z
2019
dc.identifier.none.fl_str_mv 01640704
http://hdl.handle.net/20.500.12458/351
10.1016/j.jmacro.2019.02.004
dc.language.none.fl_str_mv en
dc.relation.none.fl_str_mv Journal of Macroeconomics
60
212
228
dc.title.none.fl_str_mv Non-linear relationship between real commodity price volatility and real effective exchange rate: The case of commodity-exporting countries
dc.type.none.fl_str_mv Controlled Vocabulary for Resource Type Genres::text::periodical::journal::contribution to journal::journal article
description The aim of this paper is to contribute to the existing literature by exploring the relationship between the real commodity price volatilities and the real effective exchange rate (REER) of commodity-exporting countries, taking into account the transition variable of financial market integration. To this end, we consider a sample of 42 commodity-exporting countries subdivided into 4 panels: food and beverages, energy, metals, and raw materials. Our results highlight that the relationship between real commodity price volatility and REER is non-linear and depends on the degree of financialization of the commodity market. Specifically, when a country is poorly integrated financially, the volatility of the real commodity price has a strong and negative impact on the variation in REER. However, for periods when a country is better integrated financially, we observe a decrease in the impact of real commodity price volatility on REER, especially for the two panels of food and beverages as well as energy. Our findings also highlight the growth of financialization of commodities post-2000, particularly in the case of the energy sector.
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identifier_str_mv 01640704
10.1016/j.jmacro.2019.02.004
language_invalid_str_mv en
network_acronym_str sorbonner
network_name_str Sorbonne University Abu Dhabi repository
oai_identifier_str oai:depot.sorbonne.ae:20.500.12458/351
publishDate 2019
repository.mail.fl_str_mv
repository.name.fl_str_mv
repository_id_str
spelling Non-linear relationship between real commodity price volatility and real effective exchange rate: The case of commodity-exporting countriesBoubakri, SalemGuillaumin, CyriacSilanine, AlexandreThe aim of this paper is to contribute to the existing literature by exploring the relationship between the real commodity price volatilities and the real effective exchange rate (REER) of commodity-exporting countries, taking into account the transition variable of financial market integration. To this end, we consider a sample of 42 commodity-exporting countries subdivided into 4 panels: food and beverages, energy, metals, and raw materials. Our results highlight that the relationship between real commodity price volatility and REER is non-linear and depends on the degree of financialization of the commodity market. Specifically, when a country is poorly integrated financially, the volatility of the real commodity price has a strong and negative impact on the variation in REER. However, for periods when a country is better integrated financially, we observe a decrease in the impact of real commodity price volatility on REER, especially for the two panels of food and beverages as well as energy. Our findings also highlight the growth of financialization of commodities post-2000, particularly in the case of the energy sector.2019-03-27T16:15:12Z2019-03-27T16:15:12Z2019Controlled Vocabulary for Resource Type Genres::text::periodical::journal::contribution to journal::journal article01640704http://hdl.handle.net/20.500.12458/35110.1016/j.jmacro.2019.02.004enJournal of Macroeconomics60212228oai:depot.sorbonne.ae:20.500.12458/3512023-12-05T10:16:44Z
spellingShingle Non-linear relationship between real commodity price volatility and real effective exchange rate: The case of commodity-exporting countries
Boubakri, Salem
title Non-linear relationship between real commodity price volatility and real effective exchange rate: The case of commodity-exporting countries
title_full Non-linear relationship between real commodity price volatility and real effective exchange rate: The case of commodity-exporting countries
title_fullStr Non-linear relationship between real commodity price volatility and real effective exchange rate: The case of commodity-exporting countries
title_full_unstemmed Non-linear relationship between real commodity price volatility and real effective exchange rate: The case of commodity-exporting countries
title_short Non-linear relationship between real commodity price volatility and real effective exchange rate: The case of commodity-exporting countries
title_sort Non-linear relationship between real commodity price volatility and real effective exchange rate: The case of commodity-exporting countries
url http://hdl.handle.net/20.500.12458/351