XXV Edition

1-2 December 2016"

Globalisation and the Foreign Exchange Constraint in Developing Countries

Bhattacharyya Ranajoy, Indian Institute Of Foreign Trade

Globalization can potentially ease or firm up the foreign exchange constraint of a country. Categorizing a sample of 55 less developed countries into upper middle, lower middle and low income countries we show that the foreign exchange constraint has relaxed due to globalization in upper middle and lower middle income developing countries while the opposite is true for low income countries.

Area: Other

Keywords: Globalization, Import Demand, Foreign Exchange Constraint

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