High Exchange Rate Research Articles

Effect of Gas Exchange Rate, Vessel Type, Planting Density, and Genotype on Growth, Photosynthetic Activity, and Ion Uptake of In Vitro Potato Plants.

The growth of high-quality in vitro potato plants (Solanum stenotomum subsp. stenotomum, Solanum stenotomum subsp. goniocalyx, and Solanum tuberosum subsp. andigena) is affected by multiple biological, operational, and environmental factors. Research on in vitro culture is frequently focused on the species, explant, composition of the culture medium, and incubation conditions, but only limited information is available on the effect of the gas exchange rate and volume of in vitro culture vessels under variable planting densities. In the present study, these factors were evaluated with a set of seven diverse potato landraces. The results were compared to the plants' responses in routinely used in vitro culture vessels, i.e., 13 × 100 mm and 25 × 150 mm test tubes, and GA7® magenta vessels. In vitro potato plants grown in plastic vessels equipped with a HEPA filter delivering a high gas exchange rate developed thicker stems (0.95 mm), a higher total average leaf area (2.51 cm2), increased chlorophyll content in leaves (32.2 ppm), and lower moisture content in their tissues (90.1%) compared to filter systems with lower gas exchange rates. A high planting density of 10 × 10 plants per vessel (360 and 870 mL) negatively affected the average stem width and root length but increased the plant height (3.4 cm). High fluctuations of ion-uptake of NO3-, Ca++, K+, and Na+ were observed between genotypes, with some accessions having a 4.6-times higher Ca++-ion concentration in their tissues (190-234 ppm). The in vitro plants developed more robust stems, longer roots, and larger leaves within in vitro culture vessels equipped with a HEPA filter (high gas exchange rate) compared to the control vessels, in contrast to the chlorophyll content in leaves, which was higher in plants grown in narrow test tubes. Depending on the purpose of the subculture of in vitro plants, their growth and development can be molded using different gas exchange rates, planting densities, and vessel volumes.

The impact of green trade barriers on China’s photovoltaic products exports to ASEAN

In the context of the global push towards a green economy, this research investigates the impact of green trade barriers on the export trade volume of Chinese photovoltaic products to ASEAN from 2010 to 2021. The strong evidence indicates that green trade barriers have a positive effect on improving the export trade volume of Chinese photovoltaic products to ASEAN. This conclusion remains robust through multiple robustness tests, including excluding data from pandemic-affected years and the only developed country Singapore. Moreover, the impact of green trade barriers varies with exchange rate levels and language environments. In countries with higher exchange rates and countries with different official languages, the positive effect of green trade barriers on trade is more significant. In contrast, in countries with the same official language, green trade barriers have a negative effect on improving the trade volume. Additionally, higher levels of renewable energy consumption diminish the beneficial effect of TBT on photovoltaic trade, and CO2 emissions lessen the detrimental effect of TBT on photovoltaic trade. The findings provide valuable insights for policymakers, suggesting that align with international standards, provide differentiated technical assistance and adopt transparent trade rules when formulating green trade barriers to better support the competitiveness and export growth of Chinese photovoltaic products in the international market.

Modeling and Forecasting High Frequency Currency Exchange Rates. A Comparative Study of ARIMA, ANN, and Hybrid ARIMA-ANN Models

Aims/ Objectives: The study develops comparative results on the modeling and prediction performance of the autoregressive integrated moving average (ARIMA), artificial neural network (ANN) and the hybrid ARIMA-ANN time series models for high frequency data. Methodology: The study made use of ARIMA, ANN, and hybrid ARIMA-ANN models to forecasts the East Africa Community countries' daily currency exchange rates data which were obtained from the Central Bank of Kenya website and covered the period from January 2017 to December 2023. Stationarity of the time series data was established using the ADF test. The Ljung Box test and ACF plots were used to establish and compare the goodness-of-fit of the resultant models while the Mean Absolute Percentage Error (MAPE) and Root Mean Squared Error(RMSE) values were used to compare the prediction performance. Results: The study established that the hybrid ARIMA-ANN methodolgy provided better-fitting models for the currency exchange rates data compared to ARIMA and ANN modeling strategies since all the Lyung Box test statistics had p values greater than 5%. Comparatively, the hybrid methodology registered lower MAPE and RMSE values hence had better prediction accuracy compared to ARIMA and ANN methods. Conclusion: The Hybid methodology improves the modeling and forecasting accuracy over the ARIMA and ANN models for high frequency time series data due to its ability to captures both the linear and nonlinear patterns in the time series data.

From serials crisis to dollar crisis: The compelling evidence against APC‐based open access in sub‐Saharan Africa countries

Key points The article processing charges (APC)‐based model of open access has constituted a major obstacle to achieving open access in developing countries. High exchange rates of local currencies to the dollar make sustaining the APC open access model impractical. Other approaches should be used to achieve equitable and inclusive open access.

Empirical Analysis of the Macroeconomic Drivers of Banking Industry Stability in Nigeria

The main purpose of this study is to determine the macroeconomic drivers of banking industry stability in Nigeria. The study employed Quantitative Research method using ex-post research design to analyse the impact of exchange rate, interest rate, inflation rate, economic growth rate, and unemployment rate on bank credit-asset ratio from 1991 to 2023. Based on preliminary estimations from the Phillips-Perron unit root and F-Bounds tests, the study employed the Autoregressive Distributed Lag (ARDL) technique to establish the following key findings. Macroeconomic variables collectively and significantly influence banking industry stability. Specifically, high economic growth rate, moderate inflation rate, and low unemployment rate are the core drivers of banking industry stability, while high interest rate and volatile exchange rate exert a significant negative influence on banking industry stability. Consequently, bankers and macroeconomic policymakers should collaborate to ensure that macroeconomic policy frameworks provide banks with the opportunities for capital mobilisation necessary to effectively perform their financial intermediation roles for the overall benefit of the economy. The study recommends balancing macroeconomic targets and bank stability through growth-inflation-employment targeting policies to improve households' loan repayment resilience and reduce the credit risk of Nigerian banks. Additionally, exchange rate stabilisation through government intervention is suggested to help banks hedge against asset and credit value loss due to exchange rate volatility.

Error Correction Model (ECM) For Macroeconomic Factors And LQ45 Stock Price Index

This research aims to test the causal effects of the inflation rate empirically, the Rupiah exchange rate against the United States Dollar, and world crude oil prices on the LQ45 stock price index. In its testing, this research uses the Error Correction Model (ECM) and uses data every month from 2000 to 2022. The research results show that the inflation rate, exchange rate and world gold prices significantly affect the LQ45 stock price index. Furthermore, the inflation rate and exchange rate have a negative influence on the LQ45 index. Not optimal company growth due to high inflation and exchange rates will affect public market share demand, thereby reducing share prices. Then, world crude oil prices positively influenced the LQ45 index. These results support previous research findings that changes in world crude oil prices positively affect stock market prices in developing countries.

Modeling Scanning Electrochemical Cell Microscopy (SECCM) in Twisted Bilayer Graphene.

Twisted 2D-flat band materials host exotic quantum phenomena and novel moiré patterns, showing immense promise for advanced spintronic and quantum applications. Here, we evaluate the nanostructure-activity relationship in twisted bilayer graphene by modeling it under the scanning electrochemical cell microscopy setup to resolve its spatial moiré domains. We solve the steady state ion transport inside a 3D nanopipette to isolate the current response at AA and AB domains. Interfacial reaction rates are obtained from a modified Marcus-Hush-Chidsey theory combining input from a tight binding model that describes the electronic structure of bilayer graphene. High rates of redox exchange are observed at the AA domains, an effect that reduces with diminished flat bands or a larger cross-sectional area of the nanopipette. Using voltammograms, we identify an optimal voltage that maximizes the current difference between the domains. Our study lays down the framework to electrochemically capture prominent features of the band structure that arise from spatial domains and deformations in 2D flat-band materials.

STRATEGIC PLANNING USING THE TOTAL COST OF OWNERSHIP MODEL

In a highly competitive global scenario, companies seek new ways to optimize production and implement continuous improvement mechanisms to reduce costs. An essential tool in this context is the Total Cost of Ownership model, applied to the acquisition processes of inputs to determine the costs involved and compare the economic viability between domestic and international suppliers. Given the unstable economic scenario and high exchange rate fluctuations, the possibility of nationalizing production is evaluated. The case study method is adopted, characterized as applied and exploratory research, with the objective of generating knowledge for practical application and solving specific problems. This method combines a literature review with exploratory field analysis. The studied company faces a loss of profitability due to rising import costs, reduced demand, and the loss of purchasing power of the national currency against international suppliers. The increase in costs resulting from exchange rate fluctuations necessitates the search for new supply options, primarily in the domestic market, where exchange rate influence is lower. Thus, the nationalization of inputs becomes crucial in business decisions to minimize costs and maintain competitiveness. The results indicate that the nationalization of production using the Total Cost of Ownership model is viable. This model considers all costs involved in the acquisition of inputs, unlike the traditional acquisition model, which focuses exclusively on the unit price.

Exchange Rate Depreciation and the Nigeria’s Agricultural and Industrial Sectors

This study examines the effect of exchange rate depreciation on the agricultural and industrial sectors of the Nigerian economy using annual data from 1981 to 2021 in an autoregressive distributed lag (ARDL) model. The findings show that the effect of exchange rate depreciation on industrial and agricultural output was fairly similar. Exchange rate depreciation, inflation, interest rate, and government expenditure have negative effects on industrial output in the short run and positive effects in the long run. Similarly, past agricultural output, exchange rate depreciation, and government expenditure have negative effects on agricultural output in the short run and a positive effect in the long run. Inflation also has a long-term positive effect on agricultural output. Government expenditure had the most substantial long-run effect on industrial and agricultural output. The study shows the need to manage high exchange rate volatility to facilitate realistic forecasts and sound production decisions in the agricultural and industrial sectors. The findings of this study underscore the importance of considering both short-run dynamics and long-run adjustments in understanding the effects of exchange rate depreciation and other economic variables on the industrial and agricultural sectors.

Analisis Pengaruh Nilai Tukar Dan Inflasi Terhadap Pertumbuhan Ekonomi Indonesia Tahun (2014-2023)

This research aims to analyze the influence of exchange rates and inflation on Indonesia's economic growth in the 2014-2023 period. Economic growth data is measured using the Economic Growth Percentage (GDP), while the exchange rate is measured by the Value of USD 1 in Rupiah, and inflation is measured by the Inflation Percentage (General). In this research, the author uses statistical analysis methods to examine the relationship between exchange rates, inflation and economic growth. The data used comes from trusted sources, such as the Central Statistics Agency (BPS) and Bank Indonesia (BI). The research results show that there is a relationship between the exchange rate and Indonesia's economic growth. A high exchange rate tends to have a negative impact on economic growth, because it can cause a decrease in net exports and a decrease in production levels. Apart from that, inflation also has an influence on economic growth. A high level of inflation can cause economic instability and have a negative impact on people's real income. Apart from that, this research also shows that both the exchange rate and inflation have a significant influence on Indonesia's economic growth. This second factor needs to be considered in efforts to advance the economy and achieve optimal economic stability. This research provides a better understanding of the factors that influence Indonesia's economic growth. It is hoped that the results of this research can be a reference for the government and economic actors in taking appropriate policies to accelerate economic growth and maintain economic stability.

Monetary Policy Dynamics and the Nigeria’s Global Competitiveness: The Missing Link

Despite the series of monetary policies adopted by the Nigerian government over time, the (Nigerian) economy in comparison to other countries in the world like South Africa, the USA, Ghana, and the like is still improvised. Still, inconsistency between monetary policy formulation and implementation remains another major issues yet unattended to. It is in this regards that, the current study is dedicated towards examining the effect of monetary policy dynamics and the Nigeria’s global competitiveness from 1992 to 2021 (i.e., 30 years) using Autoregressive Distributed Lag (ARDL) model. The study disclosed that, the variables are integrated at level and first difference while the ARDL Bound test evidenced that, the series cointegrates. Specifically, monetary policy rate has a positive minimal effect on Nigeria’s global competitiveness, while the CRR improved Nigeria’s global competitiveness significantly. However, both lending rates and exchange rates have a significant negative effect on economic competitiveness. Consequently, the paper concludes that both the cash reserve ratio and the Nigeria’s demeaning state are attributed to the high exchange rate (EXR) and high lending rates. Thus, the paper submits that the current monetary policy rates are sustained and that all DMBS should adhere to the stipulated Cash Reserve Ratio (CRR) since it has improved the Nigeria’s global competitiveness significantly. Lastly, the study confirmed that, the missing link is the policy surmount on the part of the Nigerian government.

An Empirical Analysis of the Nexus Between Inflation, Exchange Rate, Unemployment and Economic Growth in Ethiopia: A Granger Casualty Approach

High unemployment, volatile exchange rates and hyperinflation contest the steady economy of Ethiopia. The aim of this study is to examine the relationship between inflation, unemployment, exchange rate and economic growth in the steady transition economy of Ethiopia. For this purpose, descriptive and econometric analyses with VAR and Granger causality estimations have been employed by using the annual time series data from 1980 to 2022. The descriptive results show that after 2010, in Ethiopia, stagnant economic growth, extreme volatile exchange rates and hyperinflation were observed. The VAR estimate is consistent with the results of the Granger causality test. It showed that in the long run, economic growth and currency depreciation are directly associated, but unemployment has a negative impact on inflation and economic growth. Economic growth and unemployment have an enlightened impact on the exchange rate devaluation, but they are not ultimately impacted by the rate of inflation. The study implied that between 1980 and 2022, in Ethiopia, there were high rates of unemployment, slow economic growth coupled with hyperinflation and a high exchange rate. The study suggested that boosting industry and agricultural productivity through the adoption of innovation, replacing foreign commodities with domestic commodities and expanding the supply of domestic commodities in international markets can resolve the inspected Ethiopian macroeconomic problems.

International reserves, currency depreciation and public debt: New evidence of buffer effects in Africa

The paper adds to the literature on the issue of public debt in African economies, by investigating the role foreign exchange reserves play in improving the level of indebtedness and as buffer of the negative effect of exchange rate depreciation while considering the exchange rate policy. Our results show a direct link between the level of foreign currency reserves and that of external debt in Africa. Particularly, we demonstrate that higher foreign currency reserves tend to decrease the public debt stock to GDP. This effect is even more significant when countries go through high exchange rate depreciation episodes (10% or higher). This impact, however, is not homogenous among country groups, as only countries with a floating exchange regime tend to benefit from this buffer effect compared to anchored regimes. In a time where most African economies face severe exchange rate depreciation episodes following the U.S. monetary tightening policy, central bankers and policy makers need to consider a plethora of policy issues including interventions in the FX market to mitigate depreciations and maintain a sustainable public debt stock.

Pass‐through to export prices: Evidence from Australia†

AbstractAustralia is a leading exporter of primary and agricultural commodities like iron ore, coal, wool and beef. Industry stakeholders point out that exchange rate fluctuations remain a key determinant of export revenue. This article investigates the exchange rate pass‐through to export prices using the recently proposed impulse responses by the local projections technique. Employing export prices in all destination markets and trade‐weighted exchange rates, there is substantial evidence that 17 SITC industry and sub‐industry level prices experience moderate to high exchange rate pass‐through to export prices. These industry categories include sectors like minerals and natural resources products, which are homogenous in nature, and Australia enjoys a comparative advantage in the export of such goods. However, this competitive edge does not necessarily lead to higher export prices, as currency invoicing plays an important role in determining the extent of the pass‐through effect. Our findings have important policy implications, especially regarding the invoicing currency strategy for exporters selling homogenous items.

ESTIMATING EXCHANGE RATE PASS-THROUGH TO DOMESTIC PRICES; SIERRA LEONE EXPERIENCE

<p>The study conducts an investigation that seeks to evaluate the nature of exchange rate pass-through on consumer prices in Sierra Leone. As a small, open economy, the country is susceptible to exogenous shocks. The exchange rate acts as a medium through which external shocks get transmitted to the real economy. Therefore, the general objective of the study is to assess the effect of the fluctuation of the exchange rate on domestic prices in Sierra Leone. More specifically, it sought to determine which type of exchange rate pass-through exists for Sierra Leone, using annual time series data between 1992 and 2022. The empirical analysis was based on a VECM model. The coefficient of the exchange rate (.5365) which is also significant at the 5% level of significance (p-value = 0.002), indicates that the exchange rate pass-through is incomplete in Sierra Leone. This means that a 1-unit depreciation of the Leone (increase in nominal exchange rate), leads to an increase in Sierra Leone consumer price by .5365 units or approximately 53.65%. This is an indication of indirect pass-through, where importers increase the price of imported goods to maintain their markup in the event of a nominal exchange rate depreciation. The recommendation to the finding is that since it was revealed that Sierra Leone has relatively high exchange rate shocks means that monetary authorities in Sierra Leone should pay more attention to the effects of EXR fluctuation on consumer prices. Measures such as the promotion of local production to substitute imported goods are key to addressing the effects of exchange rate variations.</p><p> </p><p><strong>JEL: </strong>F31, E31, C32, O24<strong></strong></p><p> </p><p><strong> Article visualizations:</strong></p><p><img src="/-counters-/lit/0758/a.php" alt="Hit counter" /></p>

Exchange rate hedged deposit account as a macroprudential monetary policy instrument

Purpose - In the aftermath of the 2008 global financial crisis, central banks have resorted to macro discretionary monetary policies in order to prevent the risks that the fragility of macroeconomic indicators in national economies may pose on financial stability. Accordingly, in December 2021, the CBRT initiated a comprehensive monetary policy process that will provide long-term and permanent returns in the fight against high inflation and high exchange rates, and introduced the "Currency Protected Deposit" instrument to encourage and support real persons to make their investment preferences in TL. The liraization process and exchange rate-protected deposits are aimed to make a lasting contribution to price stability in the medium term. In this study, the purpose of the Exchange Rate Protected Deposit (ERD) scheme and its impact on macroeconomic indicators will be evaluated for the 2021-2023 period. Methodology - After explaining the implementation, characteristics and the need for the KKM, the impact of the utilization rate of the KKM on the exchange rate and interest rates in the December 2021-December 2023 period is evaluated.. Findings - With the KKM implementation, which aims to contribute to strengthening macro financial stability by supporting Turkish lira time deposits, the utilization rate of the KKM is seen to have contributed to the strengthening of the monetary transmission mechanism through the increase in the policy rate, the increase in the demand for Turkish lira instruments, and the rise in loan and deposit rates together. Turkish lira deposits are on the rise while FX-protected deposits are on the decline. Conclusion - It is observed that the KKM' implementation contributed to the lira appreciation process and partially contributed to the recovery in exchange rates between December 2021 and July 2023. Keywords: Currency protected deposit, macroprudential monetary policy, exchange rate JEL Codes: H30, E52, F31

Transformation behavior and inverse magnetocaloric effect in Ni45Co5Mn36.7In13.3-xGex melt-spun ribbons

In the present work the influence of Ge doping on crystal structure, microstructure, martensitic transformation (MT) and magnetocaloric effect (MCE) of Heusler-type Ni45Co5Mn36.7In13.3-xGex (x = 0, 2, and 3 at. %) metamagnetic shape memory alloys (MetaMSMAs) have been studied. Melt-spinning was used to prepare ribbons of these alloys since the ribbon shape ensures a high surface-to-volume ratio favoring a high heat exchange rate in a solid-state refrigeration. Furthermore, melt-spinning can induce a specific microstructure and stabilize metastable phases at room temperature. The ribbons were examined by X-ray diffraction at different temperatures, scanning electron microscopy, calorimetry, thermomagnetization, and magnetic field induced adiabatic temperature change measurements carried out across MT. It was found that Ge doping gave rise to enhanced antiferromagnetic interactions, stabilized martensitic phase, increased the MT temperature, causing larger magnetization jumps at MT and making narrower MT hysteresis. The x = 3 ribbon exhibited an inverse MCE at 303 K characterized by the isothermal magnetic entropy change value of |26.9|J/kgK at μ0H = 5 T and an adiabatic temperature change of ǀ1.5ǀ K at μ0H = 1.96 T. These values are comparable with the previously reported data on the Ni–Mn-based metamagnetic shape memory alloys in a bulk form.

Strategic impact of knowledge entrepreneurship on foreign direct investment in Nigeria

The study investigated the strategic impact of knowledge entrepreneurship on Foreign Direct investment in Nigeria. This study examined the rate of foreign Direct Investment (FDI) in Nigeria because the country has witnessed massive downward sliding of foreign direct investment in recent times. To solve this problem, this study is aimed at ascertaining the nature of impact Knowledge entrepreneurship has on foreign direct investment. The study also investigated the cause of the massive downward sliding of foreign direct investment in Nigeria. This study adopted the survey design. Simple random sampling technique was used in selecting the 200 staff of selected foreign direct investment firms in Nigeria. Findings revealed that there is a positive and significant relationship between knowledge entrepreneurship and Foreign Direct investment in Nigeria. This means that the knowledge of Foreign Direct Investment opportunity in another country will accelerate the action of the entrepreneur in taking advantage of the opportunity to make profit in that country. This is in tandem with Knowledge Spillover Theory of Entrepreneurship. Knowledge entrepreneurship has the potency to attract foreign direct investment hence the positive and significant correlation. The study also found that knowledge entrepreneurship has resulted in technological transfer to Nigeria and employment generation as well as increased profitability and market share of the FDI operating in Nigeria.The study concludes that knowledge entrepreneurship is a viable business model in Nigeria and that the reason for the massive and downward sliding of Foreign Direct Investment in Nigeria currently is as a result of the national challenges of high insecurity and exchange rate volatility.

Kırılgan Piyasa Ekonomileri Arasında Döviz Kurları Yakınsıyor mu? LM ve RALS-LM Birim Kök Testlerinden Yeni Kanıtlar

Global financial integration causes the economic consequences of economic crises, wars, or pandemics to be felt more in developing countries and triggers high exchange rate volatilities in these economies. In such an integrated financial environment, it is an interesting research domain how and why the exchange rate volatilities of countries are not affected similarly but tend to diverge from each other. This study investigates whether the exchange rate volatilities of fragile market economies converge in the stochastic convergence framework. To answer this question, we analyzed the stochastic behavior of the series using the traditional and structural break unit root tests besides RALS unit root tests, which consider the information of non-normal errors. The discussions regarding the size and power properties of test procedures in the unit root testing literature have formed a crucial part of the implications of the test results. In light of these discussions, we conclude that the stochastic convergence assumption is valid for Brazil, South Africa, India, and Hungary, whereas it is not valid for Argentina, Mexico, and Türkiye. The policy implications of our findings are that fragile market economies have different fragility levels among themselves and countries with high fragility levels show higher volatility than others.

Exchange Rate Volatility and Governance Indicators

This study investigates the relationships between exchange rate volatility and governance indicators for emerging economies. Government effectiveness and regulatory quality as main indicators of governance are analyzed in terms of their implications for exchange rate volatility for a selected group of emerging countries consisting of Argentina, Mexico, South Africa and Turkey covering the period from 1996 to 2022. Government effectiveness indicator captures perceptions of the quality of public services, the quality of policy formation and implementation, the credibility of the government’s commitment to designed policies, the quality of the civil service and the degree of its independence from political pressures. Regulatory quality indicator measures perceptions of the ability of the government to formulate and implement sound policies and regulations that allow and promote private sector development. It is shown that countries with higher degrees of government effectiveness exhibit lower exchange rate volatility. In addition, higher levels of regulatory quality turn out to be associated with lower exchange rate volatility. These findings yield significant policy implications for emerging countries that experience high exchange rate volatility, which constitutes the major contribution of this study to the literature.