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Finance and Credit
 

Influence of an exchange rate on national production

Vol. 18, Iss. 34, SEPTEMBER 2012

Available online: 21 September 2012

Subject Heading: Financial policy

JEL Classification: 

Plotnikov V.A. Doctor of Economic Sciences, Professor of department "General Economic Theory", the St. Petersburg State University of Economics and Finance
Plotnikov_2000@mail.ru

Malyh E.B. Graduate Student of department "Economic Theory and Global Economy", the St. Petersburg State University of Economics and Finance
bar1111111@yandex.ru

In the article it is noted that in connection with transition to the policy of a floating exchange rate which is carried out now, the question of course influence on national production gets a special urgency. Theoretical approaches to an assessment of influence of a real exchange rate on output are analyzed. The mechanism of association of three main channels of influence - redistributions of demand, the general level of solvent demand and cost of imported material resources is developed. It is settled an invoice influence of real exchange rate on production in Russia in 2002-2012, the conclusion is drawn on significant course influence during the pre-crisis period.

Keywords: exchange rate, domestic production, price competition, demand

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ISSN 2311-8709 (Online)
ISSN 2071-4688 (Print)

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