📚 Volume 30, Issue 12
📋 ID: 4GhjlkH
Authors
Natalia Colombo , Victoria Schmidt, Ming Pérez, Aisha Takahashi
Professor of economics
Abstract
In this research, the effects of exchange rate on per capita private consumption in Iran are investigated using an Auto-Regressive Distributed Lag (ARDL) model. We estimate the model using quarterly data from Iran over the period 1991I–2009IV. Real interest rate and per capita income are used as control variables. The findings show that the exchange rate has a significant and negative effect on per capita private consumption in the short-run. The value of the error correction coefficient is equal to -0.53 implying that around 95% of the per capita private consumption adjustment occurs after two periods.
📝 How to Cite
Natalia Colombo , Victoria Schmidt, Ming Pérez, Aisha Takahashi (2023). "Private Consumption and Exchange Rate Relation with application to Iran". Wulfenia, 30(12).