Exchange rate behaviour and management in Malaysia: empirical study across regimes / Azlul Kalilah Zaghlol
economic developments, a study on exchange rate behaviour becomes crucial for the economic stability and achievement of macroeconomic objectives. There have been claims that fixed exchange rate regime is more prone to overvaluation and responsible for devastating currency crises. However, empirical...
| Main Author: | |
|---|---|
| Format: | Book Section |
| Language: | English |
| Published: |
Institute of Graduate Studies, UiTM
2017
|
| Subjects: | |
| Online Access: | https://ir.uitm.edu.my/id/eprint/19829/ |
| _version_ | 1848804862574198784 |
|---|---|
| author | Zaghlol, Azlul Kalilah |
| author_facet | Zaghlol, Azlul Kalilah |
| author_sort | Zaghlol, Azlul Kalilah |
| building | UiTM Institutional Repository |
| collection | Online Access |
| description | economic developments, a study on exchange rate behaviour becomes crucial for the economic stability and achievement of macroeconomic objectives. There have been claims that fixed exchange rate regime is more prone to overvaluation and responsible for devastating currency crises. However, empirical studies on exchange rate behaviour do not seem to have established whether currency misalignment and the regime choice are the ones potentially responsible. This study thus examines the behaviour of exchange rates and its management given the unique experience in Malaysia during the 1997 financial crisis. Firstly, its objective is to measure real exchange rate misalignment (RERMIS) upon estimation of its equilibrium level. Secondly, this study tests the Fixed Exchange Rate Regime-Misalignment (FERRM) hypothesis in establishing whether the pegged regime contributed to the worsening of misalignment. The third objective looks into the exchange market pressure (EMP) and its associated intervention. It answers the question of “deliberateness” with regard to exchange rate management policy, specifically whether it is a resulting behaviour of deliberate action or merely due to the market forces. |
| first_indexed | 2025-11-14T22:01:53Z |
| format | Book Section |
| id | uitm-19829 |
| institution | Universiti Teknologi MARA |
| institution_category | Local University |
| language | English |
| last_indexed | 2025-11-14T22:01:53Z |
| publishDate | 2017 |
| publisher | Institute of Graduate Studies, UiTM |
| recordtype | eprints |
| repository_type | Digital Repository |
| spelling | uitm-198292018-06-08T01:30:54Z https://ir.uitm.edu.my/id/eprint/19829/ Exchange rate behaviour and management in Malaysia: empirical study across regimes / Azlul Kalilah Zaghlol Zaghlol, Azlul Kalilah Malaysia economic developments, a study on exchange rate behaviour becomes crucial for the economic stability and achievement of macroeconomic objectives. There have been claims that fixed exchange rate regime is more prone to overvaluation and responsible for devastating currency crises. However, empirical studies on exchange rate behaviour do not seem to have established whether currency misalignment and the regime choice are the ones potentially responsible. This study thus examines the behaviour of exchange rates and its management given the unique experience in Malaysia during the 1997 financial crisis. Firstly, its objective is to measure real exchange rate misalignment (RERMIS) upon estimation of its equilibrium level. Secondly, this study tests the Fixed Exchange Rate Regime-Misalignment (FERRM) hypothesis in establishing whether the pegged regime contributed to the worsening of misalignment. The third objective looks into the exchange market pressure (EMP) and its associated intervention. It answers the question of “deliberateness” with regard to exchange rate management policy, specifically whether it is a resulting behaviour of deliberate action or merely due to the market forces. Institute of Graduate Studies, UiTM 2017 Book Section PeerReviewed text en https://ir.uitm.edu.my/id/eprint/19829/2/ABS_AZLUL%20KALILAH%20ZAGHLOL%20TDRA%20VOL%2012%20IGS%2017.pdf Zaghlol, Azlul Kalilah (2017) Exchange rate behaviour and management in Malaysia: empirical study across regimes / Azlul Kalilah Zaghlol. (2017) In: The Doctoral Research Abstracts. IGS Biannual Publication, 12 (12). Institute of Graduate Studies, UiTM, Shah Alam. |
| spellingShingle | Malaysia Zaghlol, Azlul Kalilah Exchange rate behaviour and management in Malaysia: empirical study across regimes / Azlul Kalilah Zaghlol |
| title | Exchange rate behaviour and management in Malaysia: empirical study across regimes / Azlul Kalilah Zaghlol |
| title_full | Exchange rate behaviour and management in Malaysia: empirical study across regimes / Azlul Kalilah Zaghlol |
| title_fullStr | Exchange rate behaviour and management in Malaysia: empirical study across regimes / Azlul Kalilah Zaghlol |
| title_full_unstemmed | Exchange rate behaviour and management in Malaysia: empirical study across regimes / Azlul Kalilah Zaghlol |
| title_short | Exchange rate behaviour and management in Malaysia: empirical study across regimes / Azlul Kalilah Zaghlol |
| title_sort | exchange rate behaviour and management in malaysia: empirical study across regimes / azlul kalilah zaghlol |
| topic | Malaysia |
| url | https://ir.uitm.edu.my/id/eprint/19829/ |