Loading ...

Blob

Smart Reasoning:

C&E

See more*

Qaagi - Book of Why

Causes

Effects

to attract capital inflowsthus leadingto exchange rate appreciation

heavy capital inflowscauseexchange rate appreciation

capital inflows , such as aid(passive) caused byreal exchange rate appreciation

aid inflows(passive) being caused byreal exchange rate appreciation

These effects ... excessive ” capital inflowsledto exchange rate appreciation

Foreigners bid up the price of the dollar in order to get more of them to investcausingan exchange rate appreciation

large foreign exchange inflowscausingexchange rate appreciation

leading to continued accumulation of official foreign exchange reservesto preventnominal exchange rate appreciation

When policy makers have intervenedto preventexchange rate appreciation

Foreigners bid up the price of the domestic currency in order to get more of them to investcausingan exchange rate appreciation

Higher oil revenue and greater capital inflows stemming from increased trade and financial transactionscould potentially leadto exchange rate appreciation

monetary expansioncausingexchange rate appreciation

The author analyzes factors ,causeeffective exchange rate appreciation

large scale capital flows to EMEscausingexchange rate appreciation

though insignificantly , private capital flowsleadingto exchange rate appreciation

The expansion in domestic demand andleadreal exchange rate appreciation

increased cash inflowsleadsto exchange rate appreciation

Trade restrictive policiescausereal exchange rate appreciation

surplus countries ... policiespreventexchange rate appreciation

The Dutch disease links resource wealth to poor economic performance via the tendency of resource exportsto causeexchange rate appreciation

Creating and Sustaining Competitive Strategies tourismwould resultin exchange rate appreciation

improvement in productivity , investment - GDP ratio , and high inflationleadsto exchange rate appreciation

This will increase domestic investment and production , including demand for good and servicesthereby leadingto exchange rate appreciation

An increase in the interest with a flexible exchange rate regime and an open capital account , makes deposits in domestic currency more attractive than those in foreign currenciesleadingto an exchange rate appreciation

More demand for the currencyshould thus leadto an exchange rate appreciation

higher wages and capital expendituresleadto exchange rate appreciation

Reserve currency status increases the global demand for a country ’s currency ,leadingto exchange - rate appreciation

that higher interest rates tendto causean exchange rate appreciation

if the main motivation for reserve accumulation by emerging markets wasto preventreal exchange rate appreciation

An increase in domestic interest rates relative to those abroadwill leadto exchange rate appreciation

This results in a widening of the differential between interest rates at home and abroadleadingto an exchange rate appreciation

foreign currency reserves ... a means of currency interventionto preventexchange rate appreciation

a nominal depreciationwould preventreal exchange rate appreciation

domestic investors repatriating foreign investmentscould leadto an exchange rate appreciation

investments were showing the economy’s income growth as well as progress on shared foreign exchange reservesto preventnominal exchange rate appreciation

to sell foreign exchangeto causean exchange rate appreciation

A shift towards a ‘ weak dollar policy ... which tendto leadto exchange - rate appreciation

Many emerging economies ’ authorities intervene in currency marketsto preventexchange - rate appreciation

If -- despite the literature ’s findings – the main motivation for reserve accumulation wasto preventreal - exchange - rate appreciation

a terms - of - trade riseleadingto an exchange - rate appreciation

to an export slowdownhas ledto an export slowdown

export markets(passive) caused byexport markets

in greater effects on exports amid the slowdown in trading partner economies and heightened international competitionmight resultin greater effects on exports amid the slowdown in trading partner economies and heightened international competition

in a tightening of monetary conditions and reduce the burden to be borne by higher policy rateswould resultin a tightening of monetary conditions and reduce the burden to be borne by higher policy rates

Net eXports to fall which causes the IS curve to shift left again to where it startedcausesNet eXports to fall which causes the IS curve to shift left again to where it started

a slower growth of real GDP due to the downfall in net exports and a rise in the demand for importscausesa slower growth of real GDP due to the downfall in net exports and a rise in the demand for imports

to deindustrialisation and Dutch Disease effects making traditional exports internationally uncompetitivehas ledto deindustrialisation and Dutch Disease effects making traditional exports internationally uncompetitive

a slower growth of real GDP because of a fall in net exports ( reduced injection ) and a rise in the demand for imports ( an increased leakage in the circular flowcausesa slower growth of real GDP because of a fall in net exports ( reduced injection ) and a rise in the demand for imports ( an increased leakage in the circular flow

exports from a country to increase in pricecan causeexports from a country to increase in price

increased REER(passive) caused byincreased REER

to lower local currency bond spreads in EMEs ... and that this reduction turns out to be driven by lower credit risk premialeadsto lower local currency bond spreads in EMEs ... and that this reduction turns out to be driven by lower credit risk premia

to a wider output gap and significant inflation undershooting , both of which will temporarily depress nominal GDP growthcontributesto a wider output gap and significant inflation undershooting , both of which will temporarily depress nominal GDP growth

not only to an increase in a country ’smay leadnot only to an increase in a country ’s

to lower CPI inflationcould ... leadto lower CPI inflation

to an increase in the share of a country ’s high - technology exportsmay leadto an increase in the share of a country ’s high - technology exports

to complication At its meeting todaycould leadto complication At its meeting today

a relative improvement in the trade balance between the two countries ... but the widening differential between wages and productivity and , more importantly , the reduction in real interest rates and the forced expansion of credit would have had the opposite effectmay ... have causeda relative improvement in the trade balance between the two countries ... but the widening differential between wages and productivity and , more importantly , the reduction in real interest rates and the forced expansion of credit would have had the opposite effect

to reduced rates of smallest - firm entry in manufacturingto leadto reduced rates of smallest - firm entry in manufacturing

from freefloatingwould resultfrom freefloating

remuneration(passive) caused byremuneration

a shift in expenditure ... making China ’s rebalancing more apparentwill causea shift in expenditure ... making China ’s rebalancing more apparent

the consumer price inflation to fall by about 0.01 after four quarters ( or an accumulated response of about 0.11after 14 quarterscausedthe consumer price inflation to fall by about 0.01 after four quarters ( or an accumulated response of about 0.11after 14 quarters

from a rise in import tariffsresultsfrom a rise in import tariffs

to better macro - economic balance , especially in countries where rapid productivity growth is helping to maintain external competitivenessmay also contributeto better macro - economic balance , especially in countries where rapid productivity growth is helping to maintain external competitiveness

to increases in foreign direct investment inflowwill leadto increases in foreign direct investment inflow

by increasing in interest rate , and exchange rate depreciation is influenced by rising of inflation and public debtis influencedby increasing in interest rate , and exchange rate depreciation is influenced by rising of inflation and public debt

to the increase in international reserves , which rose to nine months of imports and 10 % of GDP ( Figure 1.10has contributedto the increase in international reserves , which rose to nine months of imports and 10 % of GDP ( Figure 1.10

higher pass - through than depreciationleadshigher pass - through than depreciation

the wage increases(passive) caused bythe wage increases

to a relative increase in the price level in Japanwill leadto a relative increase in the price level in Japan

to entrenched deflation and a recessionmight leadto entrenched deflation and a recession

monetary condicitions tightening(passive) prompted bymonetary condicitions tightening

in a loss of trade competitivenesscould resultin a loss of trade competitiveness

the dampening effect(passive) caused bythe dampening effect

the negative bar for Japan this yearcontributesthe negative bar for Japan this year

from increased aid flows in aid - dependent countriesresultingfrom increased aid flows in aid - dependent countries

to erosion of competitiveness of domestic goods and servicesleadingto erosion of competitiveness of domestic goods and services

This long - lasting fall in the relative price of imported intermediate goods(passive) caused byThis long - lasting fall in the relative price of imported intermediate goods

to a steep fall in inflation to 6.3 percent year on year in January 2018 from a peak of 26 percent in November 2016ledto a steep fall in inflation to 6.3 percent year on year in January 2018 from a peak of 26 percent in November 2016

from a ramp up of oil exportsresultingfrom a ramp up of oil exports

Blob

Smart Reasoning:

C&E

See more*