South African Journal of Economic and Management Sciences
versão On-line ISSN 1015-8812
We find that for the period 1994-2011 there is robust statistical evidence that, in the long run, net exports are boosted by a weaker real effective exchange rate. However, this effect does not hold in the short run. We thus find empirical evidence supporting the J-curve effect for South Africa.
Palavras-chave : cointegration; exchange rates; J-curve; trade balance.