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Analysis of Exchange Rates (Commodity Exporting and Importing Countries)
Slabý, Pavel ; Mandel, Martin (advisor) ; Metrah, Samy (referee)
This bachelor thesis´s objective is to analyze a possible relationship between exchange rates of selected countries and prices of commodities that these countries export. The thesis aims to describe this relationship and to quantify it. The selected countries are Canada, Japan, Norway, Australia, Zambia and Burundi. This thesis first describes theoretically the relationships between the exchange rates and fundamental quantities. The method of empirical analysis is described in the second part. Correlation and regression analysis is carried out and some problems that I have encountered during the econometric analysis are described as well. I study the aforementioned relationship on monthly data of nominal effective exchange rates from 2000 to 2015 in case of Canada, Japan, Australia and Norway. In case of Zambia and Burundi I study the relationship on yearly data of real effective exchange rates from 1980 to 2014. During my analysis I learned that these exchange rates really show some dependence on the commodity prices. The relationship is strongest in case of Norwegian Krone and oil prices. On the other hand the relationship is the weakest in case of Japanese Yen and oil prices.

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