How Does Exchange Rate Uncertainty interact with International Trade? A Meta-Analysis Revisited

摘要: Several factors have been highlighted to explain the controversial effect of exchange rate uncertainty on international trade. However, empirical evidence is rather mixed. The main focus this paper reconcile apparently conflicting results from 59 studies published between 1984 and 2014. We found that interaction two variables likely be ambiguous when measured in real than nominal terms, using “naive models” GARCH extensions as volatility measurement less developed countries are considered. Intuitively, lack clearer may also attributed scarcity addressing robustness relationship along several econometric methods fact neither policy nor trade can designed without considering regulatory instrumental factors, which unfortunately excluded majority researches. To find better paths, further researches should new based additional such institutional quality proxies financial development indicators.