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Trade Surplus in Germany
Impact of the Real Exchange Rate and the GDP between 1993 and 2007
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Seminar paper from the year 2007 in the subject Economics - Monetary theory and policy, printed single-sided, grade: 1,0, University of Auckland (Business School), course: Global Business Environment, 8 entries in the bibliography, language: English, abstract: This report analyses the impact of the real exchange rate two years beforehand and the GDP on Germany s trade surplus between the second quarter 1993 and the first quarter 2007. It is found that both factors had significant impact on Germany s trade surplus during the analysed period. Use of a piecewise linear regression technique, moreover, identifies changes in the development of Germany s trade surplus over time. A temporary downward shift in the consistent growth trend of Germany s trade surplus between the first quarter 1998 and the fourth quarter 2002 is seen to be due to changes in Germany s fiscal and monetary policy during the introduction phase of the Euro.
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