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A Review on the Relationship Between the Real Exchange Rate, Productivity, and Growth

Hüseyin Özbilgin ()

Central Bank Review, 2015, vol. 15, issue 2, 61-77

Abstract: This article aims to review some of the findings in the literature on the relationship between the real exchange rate, productivity, and growth. A minimal recapitulation of the concepts that are necessary to be able to read through this literature is also provided. The article tries to reflect on studies focusing on various directions within the complicated feedback mechanisms between the real exchange rate, and productivity and growth. The primary intention is to represent the mixed evidence on the relationship provided by the literature and the resulting inconclusiveness, as well as to emphasize certain channels offered previously which are thought to be operating on the backdrop.

Keywords: Real exchange rate; Productivity; Growth; Exchange rate misalignment (search for similar items in EconPapers)
JEL-codes: F30 F31 F41 F43 (search for similar items in EconPapers)
Date: 2015
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Handle: RePEc:tcb:cebare:v:15:y:2015:i:2:p:61-77