World Economy Brief KIEP Staff Papers
발간물
KIEP Opinions
The Role of Global Production Linkage on the Exchange Rate Elasticity of Firm Exports
- 저자 Hyo Sang Kim
- 발간일2019-05-03
Global production linkages alleviate the effect of exchange rates on firm exports. Choi and Kim (2018) explore whether global production linkage through foreign ownership and foreign subsidiaries contributes to weakening the effectiveness of changes in exchange rates on firm exports. Choi and Kim (2018) empirically find that the exchange rate elasticities of firm exports are significant and negative for domestic firms or firms with no foreign subsidiary, whereas those are insignificant for foreign-owned firms or firms with foreign subsidiaries.
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