Abstract
Using panel data unit root tests and panel cointegration tests including Johansen maximum likelihood cointegration tests, as well as estimation techniques appropriate for heterogeneous panels such as fully modified OLS, this study examines the effect of currency devaluation on output expansion in a sample of eleven Asian countries over the period 1968–1999. The results suggest that, in the long run, output growth is affected by currency devaluation in the majority of countries under examination and in the panel as a whole. This finding stands at variance with other recent studies, which concluded that devaluation does not exert any important influence on aggregate output.
Sign-in/Register to access full text options 
Talk to us
Join us for a 30 min session where you can share your feedback and ask us any queries you have
Schedule a callDisclaimer: All third-party content on this website/platform is and will remain the property of their respective owners and is provided on "as is" basis without any warranties, express or implied. Use of third-party content does not indicate any affiliation, sponsorship with or endorsement by them. Any references to third-party content is to identify the corresponding services and shall be considered fair use under The CopyrightLaw.
