Is the Exchange Rate a Shock Absorber or a Source of Shocks? New Empirical Evidence

By Katie Farrant, G. Peersman. 2006

205 citations recorded by the source corpus.

Subfields: Economics and Econometrics, Finance

View Paper: https://www.semanticscholar.org/paper/2bcc25de8b9955e97feb6d0117435bfd1872a6d1

How researchers see this paper

The researchers whose trusted networks rank it highest, strongest advocate first. Every researcher gets a different order.

In Economics and Econometrics

1. E. Mileva
2. Almuth Scholl
3. Zeno Enders
4. M. Habib
5. Gernot J. Müller
6. Livio Stracca

In Finance

1. E. Mileva
2. Almuth Scholl
3. Zeno Enders
4. M. Habib
5. Gernot J. Müller
6. Livio Stracca
7. Peter J. Brockwell

Citations in the corpus

• The Macroeconomic Costs and Benefits of the EMU and Other Monetary Unions: An Overview of Recent Research (2010, unknown): “Indeed, there is increasing empirical evidence that, instead of acting as shock absorbers, nominal exchange rates act as sources of shocks (see, for example, Katie Farrant and Gert Peersman 2006).”
• The Real Exchange Rate and Economic Growth: Revisiting the Case Using External Instruments (2017, background): “Moreover, our paper is also related to the literature on the role of exchange rates as shock absorbers or sources of shocks (Farrant and Peersman 2006).”
• New evidence on the puzzles: Results from agnostic identification on monetary policy and exchange rates (2008, unknown): “To assure comparability and similar to Faust and Rogers (2003), we use the specification chosen by Eichenbaum and Evans (1995). We study three country pairs: the US and Germany, the US and the UK, and the US and Japan. To additionally take into account cross-sectional information we construct an agg”
• How Do Fiscal and Technology Shocks Affect Real Exchange Rates? New Evidence for the United States (2008, methodology): “In an open economy context, with a focus on identifying monetary policy shocks, sign restrictions are employed by Faust and Rogers (2003), Farrant and Peersman (2006), and Scholl and Uhlig (2008) among others.”
• What Drives Oil Prices? Emerging versus Developed Economies (2012, unknown): “As such, for each set of parameter estimates, the identified structural shocks are orthogonal.17 15Restrictions on one variable relative to another have been applied previously by, among others, Farrant and Peersman (2006) and Eickmeier and Ng (2011) but in a very different context.”
• Global Exchange Rate Configurations: Do Oil Shocks Matter? (2016, unknown): “The broader question that this paper wants to address is whether exchange rates are indeed shock absorbers or not (Farrant and Peersman, 2006) conditional on shocks to the oil market.”
• Do Euro Area Countries Respond Asymmetrically to the Common Monetary Policy (2014, unknown): “These restrictions, which are theoretically consistent with a typical IS-LM model of an open economy, are commonly accepted in the literature (Peersman, 2005; Farrant and Peersman, 2006).”
• Sign Restrictions in Structural Vector Autoregressions: A Critical Review (2011, unknown): “Examples are Jarociński and Smets (2008) and Farrant and Peersman (2006). But it needs to be stressed that all shocks have to be regarded as transitory for this summative model to be correct.”