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The determinants of real exchange rate: theory and evidence from Papua New Guinea

Chowdhury, Mamta B


This paper examines the determinants of real exchange rate in Papua New Guinea employing annual data for the period 1970-1994. The theoretical framework for the analysis is provided by the two goods (tradable and nontradable) dependent economy (Australian) model modified in the light of recent theoretical advances of macroeconomic modelling of external shocks in developing countries. In this dynamic model of the real exchange rate both real and nominal determinants of real exchange rate...[Show more]

CollectionsANU Research Publications
Date published: 1999
Type: Working/Technical Paper


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