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Exchange Rate and Agricultural Trade: Evidence from Iran

Behzad Fakari Sardehae (), Naser Shahnoushi Foroushani () and Saleh Tabrizy ()
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Behzad Fakari Sardehae: Iran Chamber of Commerce, Industries, Mines, and Agriculture
Naser Shahnoushi Foroushani: Ferdowsi University of Mashhad, College of Agriculture
Saleh Tabrizy: The University of Oklahoma, Michael F. Price College of Business

Economics Bulletin, 2023, vol. 43, issue 1, 302 - 308

Abstract: Iran has been consistently running a trade deficit in agricultural products. Conditional upon domestic and global output as well as oil exports, we find that the effective real exchange rate plays a significant role in perpetuating this deficit. While we find no evidence of any J-curve dynamics, our results suggest that the effects from currency appreciation is of greater importance when compared to depreciation.

Keywords: Exchange Rate; Agricultural Trade; Iran (search for similar items in EconPapers)
JEL-codes: F1 Q1 (search for similar items in EconPapers)
Date: 2023-03-30
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