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Influence of Exchange Rate on Exports and Imports: Evidence from US
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The exchange rate is one of the essential indicators of US economy's international competitiveness, and therefore, has a strong impact on a country's export and import. This book will gives an idea about the impact of exchange rate on exports and imports of a US. This book speaks the question of whether exchange rate volatility has any significant and direct impact on the exports and imports of US. Hence, the purpose of this study is to estimate the effect of exchange rate volatility on the exports and imports of US with respect to Britain, Canada, China, Germany, India, South Korea, Japan, Mexico during the year 1995 to 2015.By using unit root tests, correlation, granger causality, regression, forecasting models the testing has been done. Results demonstrate that the exchange rate has a significant effect on the exports and imports of the US.It has been examined that the exchange rate of US with all the countries has a significant effect on the exports of US to these countries except South Korea and exchange rate of US with all the countries has a significant effect on the imports to US except South Korea and Japan.
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