TITLE:
Population Age Structure, Urbanization and Real Exchange Rate: An Empirical Study Based on G20’s Panel Data
AUTHORS:
Jiaxing Lv
KEYWORDS:
Population Age Structure, Urbanization, Real Exchange Rate, The Transmission Mechanism
JOURNAL NAME:
Modern Economy,
Vol.9 No.2,
February
13,
2018
ABSTRACT: This
paper examines the internal transmission mechanisms of population age structure
and urbanization to real exchange rate based on G20’s panel data over 1993-2016
periods. “Balassa-Samuelson effect” and “Factor endowment effect” are main
channels that population age structure affect U.S dollar real exchange rate,
and “demand structure effect” is not significant. The improvement of
urbanization rate has significant positive effect on U.S dollar real exchange
rate through “Balassa-Samuelson effect” and “Factor endowment effect” has
significant negative effect on U.S dollar real exchange rate through “demand
structure effect”. On the basis of theoretical and empirical analysis, we put
forward suggestions to suppress the negative effects of aging on productivity.