Measuring and Analyzing the Impact of Some Macroeco-nomic Variables on Exports in Emerging Countries for 2000-2020: A Panel Data Analysis

Abstract

This study examines the impact of some macroeconomic variables and exports in emerging economies from 2000 to 2020. Using panel data analysis, they investigate how fluctuations in exchange rates, inflation, and interest rates influence the exports of diverse emerging economies. They estimate these effects by employing panle regression, fixed effects, and random effects models and employing statistical tests to select the appropriate model. Our analysis uncovers significant variations in how exchange rates, inflation, and interest rates impact exports across emerging economies. The Fixed Effects Model proves most suitable, highlighting individual-specific effects that shape each country's export behaviours. Changes in exchange rates were linked to decreased exports, indicating a negative relationship. Similarly, alterations in interest rates showed a negative correlation with exports, suggesting that higher interest rates were associated with lower export levels. Conversely, fluctuations in inflation rates demonstrated a positive connection with exports, implying that increased inflation rates were linked to higher export volumes. This study contributes to our comprehension of how macroeconomic factors influence exports in emerging economies, providing valuable insights for policymakers, trade professionals, and researchers aiming to strengthen export competitiveness and sustainability.