Transcribed
Changes in REER and real house price index (2008-2012)
1.3.4 Changes in REER and real house price index: December 2008 versus September 2012 80- HKG IND 60 ТАР 40 MAL 20 SIN PRC THA JPN KOR 0. 10 15 INO -20. -40 Real effective exchange rate, % change REER = real effective exchange rate. HKG = Hong Kong, China, IND = India, INO = Indonesla, JPN = Japan, KOR = Republic of Korea, MAL = Malaysla, PRC = People's Republic of China, SIN = Singapore, TAP = Talpel,China, THA = Thalland. Source: Government Housing Bank of Thalland; CEIC Data Company Ltd. (accessed 15 March 2013). Real house price index, % change
Changes in REER and real house price index (2008-2012)
shared by W.E.R.I on Jun 26
129
views
0
faves
0
comments
Figure 1.3.4 demonstrates the tradeoff between exchange rates and house prices, with a correlation coefficient –0.64, suggesting that QE may have affected Asian countries through either currency app...
reciation or higher prices for real estate, the
most important household asset in many Asian countries.
These findings suggest that QE events affected Asia’s financial markets through at least three channels: They stabilized the global financial market, calming sentiment and volatility to stabilize capital inflows, which lowered credit default swap premiums and strengthened currency values in Asia. They lowered the long-term interest rate, which brought down Asian domestic interest rates. And they changed market expectations through direct announcements.
--- REER = real effective exchange rate.
HKG = Hong Kong, China, IND = India, INO = Indonesia, JPN = Japan, KOR =
Republic of Korea, MAL = Malaysia, PRC = People’s Republic of China, SIN =
Singapore, TAP = Taipei,China, THA = Thailand.
--- Source: Government Housing Bank of Thailand; CEIC Data Company Ltd.
(accessed 15 March 2013).
Source
Unknown. Add a sourceCategory
HomeGet a Quote
You may also like...
