Exports, exchange rate movements and the credit markets imperfections: new evidence from threshold regression analysis
Based on an innovative threshold estimation technique, this study investigates whether the effect of exchange rate depreciation on exports is distinct with different channels of credit markets imperfections. The empirical results demonstrate the existence of a threshold effect in the relationship be...
| Main Authors: | , , |
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| Format: | Article |
| Language: | English |
| Published: |
Faculty of Economics and Management, Universiti Putra Malaysia
2015
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| Online Access: | http://psasir.upm.edu.my/id/eprint/35317/ http://psasir.upm.edu.my/id/eprint/35317/1/Paper%202%20Export%20ER%20Movement%20and%20CM%20Imperfection.pdf |
| _version_ | 1848848020978794496 |
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| author | Niaz Ahmad, Mohd Naseem Wan Ngah, Wan Azman Saini Masron, Tajul Ariffin |
| author_facet | Niaz Ahmad, Mohd Naseem Wan Ngah, Wan Azman Saini Masron, Tajul Ariffin |
| author_sort | Niaz Ahmad, Mohd Naseem |
| building | UPM Institutional Repository |
| collection | Online Access |
| description | Based on an innovative threshold estimation technique, this study investigates whether the effect of exchange rate depreciation on exports is distinct with different channels of credit markets imperfections. The empirical results demonstrate the existence of a threshold effect in the relationship between exchange rate depreciation and exports flows. In particular, the impact of exchange rate depreciation on exports is negatively significant only after a certain threshold level of credit market imperfections has been attained. Until then, the exports effect of exchange rate depreciation seems to be non-existent. This finding suggests that the exchange rate depreciation-exports nexus is contingent on the level of credit market imperfection, thereby corroborating the view that credit market imperfection played an important role in impeding exports performance. |
| first_indexed | 2025-11-15T09:27:52Z |
| format | Article |
| id | upm-35317 |
| institution | Universiti Putra Malaysia |
| institution_category | Local University |
| language | English |
| last_indexed | 2025-11-15T09:27:52Z |
| publishDate | 2015 |
| publisher | Faculty of Economics and Management, Universiti Putra Malaysia |
| recordtype | eprints |
| repository_type | Digital Repository |
| spelling | upm-353172016-10-11T03:57:22Z http://psasir.upm.edu.my/id/eprint/35317/ Exports, exchange rate movements and the credit markets imperfections: new evidence from threshold regression analysis Niaz Ahmad, Mohd Naseem Wan Ngah, Wan Azman Saini Masron, Tajul Ariffin Based on an innovative threshold estimation technique, this study investigates whether the effect of exchange rate depreciation on exports is distinct with different channels of credit markets imperfections. The empirical results demonstrate the existence of a threshold effect in the relationship between exchange rate depreciation and exports flows. In particular, the impact of exchange rate depreciation on exports is negatively significant only after a certain threshold level of credit market imperfections has been attained. Until then, the exports effect of exchange rate depreciation seems to be non-existent. This finding suggests that the exchange rate depreciation-exports nexus is contingent on the level of credit market imperfection, thereby corroborating the view that credit market imperfection played an important role in impeding exports performance. Faculty of Economics and Management, Universiti Putra Malaysia 2015 Article PeerReviewed application/pdf en http://psasir.upm.edu.my/id/eprint/35317/1/Paper%202%20Export%20ER%20Movement%20and%20CM%20Imperfection.pdf Niaz Ahmad, Mohd Naseem and Wan Ngah, Wan Azman Saini and Masron, Tajul Ariffin (2015) Exports, exchange rate movements and the credit markets imperfections: new evidence from threshold regression analysis. International Journal of Economics and Management, 9 (2). pp. 248-263. ISSN 1823-836X http://econ.upm.edu.my/ijem/vol9no2/Paper%202%20Export%20ER%20Movement%20and%20CM%20Imperfection.pdf |
| spellingShingle | Niaz Ahmad, Mohd Naseem Wan Ngah, Wan Azman Saini Masron, Tajul Ariffin Exports, exchange rate movements and the credit markets imperfections: new evidence from threshold regression analysis |
| title | Exports, exchange rate movements and the credit markets imperfections: new evidence from threshold regression analysis |
| title_full | Exports, exchange rate movements and the credit markets imperfections: new evidence from threshold regression analysis |
| title_fullStr | Exports, exchange rate movements and the credit markets imperfections: new evidence from threshold regression analysis |
| title_full_unstemmed | Exports, exchange rate movements and the credit markets imperfections: new evidence from threshold regression analysis |
| title_short | Exports, exchange rate movements and the credit markets imperfections: new evidence from threshold regression analysis |
| title_sort | exports, exchange rate movements and the credit markets imperfections: new evidence from threshold regression analysis |
| url | http://psasir.upm.edu.my/id/eprint/35317/ http://psasir.upm.edu.my/id/eprint/35317/ http://psasir.upm.edu.my/id/eprint/35317/1/Paper%202%20Export%20ER%20Movement%20and%20CM%20Imperfection.pdf |