MANAGING EXCHANGE RATE IN AN UNDIVERSIFIED ECONOMY
Journal Title: Asian Journal Social Sciences & Humanities - Year 2016, Vol 5, Issue 3
Abstract
This paper examined the choice of exchange rate in an undiversified economy. A critical review of the literature on the exchange rate policy and economic diversification determinants was done. The analysis showed that infrastructure and the quality of institutions are important determinants of economic diversification. The country is in a better position to diversify its production base if it has a well-developed physical infrastructure and viable institutions. These findings have wide-ranging policy implications. First, government policies directed at improving government effectiveness and regulatory quality are essential for promoting economic diversification. Second, governments in resource-dependent countries can efficiently promote export diversification by fostering investment and trade freedom. Furthermore, governments in resource-rich countries need to take effective measures to offset the negative impact of large foreign exchange inflows on competitiveness. Effectively managing this is a major challenge for export diversification in resource-dependent countries. More broadly, governments need to grapple with the fact that policies aimed at the economic diversification may negatively affect the odds of export diversification. Finally, the choice of an exchange-rate regime depends on a country’s characteristics, including its inflation performance, monetary credibility, its trading patterns, and its vulnerability to external shocks.
Authors and Affiliations
D. H. Balami, F. F. Ahmed, M. D. Tukur
LIFESTYLE AND PREVALENCE OF HIV/AIDS IN RIVERINE COMMUNITIES IN AKWA IBOM STATE, NIGERIA
This study was designed to assess lifestyle and prevalence of HIV/AIDS among riverine communities in Akwa Ibom State. Five Local Government Areas with 500 randomly selected respondents were picked from systematic sampl...
DEVELOPMENT OF UNDERGRADUATE COURSES IN THE FIELD OF RECREATION IN THAILAND
This article aimed at proposing a study on the development of undergraduate courses in the field of recreation in Thailand such as background and evolution of curriculum in the field of recreation, curriculum arrange...
AN ASSESSMENT OF THE PERFORMANCE OF PHILIPPINE INTERNATIONAL SCHOOLS IN JEDDAH, KINGDOM OF SAUDI ARABIA: A BASIS FOR OD INTERVENTIONS FOR SUSTAINABLE QUALITY EDUCATION OVERSEAS
This descriptive-correlational study examines the status and the recent performance of Philippine International Schools in Jeddah, Kingdom of Saudi Arabia, and identifies Organizational Development (OD) Intervent...
A HEURISTIC MODEL - THE CASE OF CHALLENGES FACING WESTERN BUSINESS PEOPLE IN JAPAN
This paper is based on an investigation which has utilised the data collected from eleven different case studies. Each case study deals with issues and challenges facing the western expatriates residing in Japan for th...
CURRENT WORK MOTIVATION METHODS AND EFFECTIVENESS FOR UNIVERSITY TEACHERS IN MONGOLIA
In order to run successful business activities and improve productivity, personal motivation is used as the main tool for management of human resources and its effective use. This research work was conducted on public e...