Impacts of Peso Depreciation and Changes in Other Business and Economic Variables on Aggregate Output in Argentina

Yu Hsing

Authors

Yu Hsing

Keywords:

real depreciation, interest rates, stock prices, oil prices, expected inflation rate

Abstract

This paper examines the effects of real depreciation of the Argentine peso and changes in other relevant macroeconomic variables on real GDP in Argentina. The results show that real GDP is negatively influenced by real depreciation of the peso, the real interest rate and the expected inflation rate and positively affected by the ratio of government spending or government deficit to GDP, the real stock price, the real oil price and U.S. real GDP. Therefore, recent depreciation of the peso hurts real GDP whereas recent rise in the stock price helps real GDP. Relatively high interest rates reduce real GDP through personal consumption spending, investment spending and net exports.

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Impacts of Peso Depreciation and Changes in Other Business and Economic Variables on Aggregate Output in Argentina. (2016). Global Journal of Management and Business Research, 16(35), 1-5. https://journalofbusiness.org/index.php/GJMBR/article/view/

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Author Biography

Yu Hsing

Dr. Yu Hsing is a distinguished Professor of Economics at Southeastern Louisiana University in Hammond, Louisiana, USA. With a prolific academic career, he has authored over 250 works, accumulating more than 1,600 citations, reflecting his significant influence in the field of economics. His research focuses on macroeconomic policy, exchange rate dynamics, and financial markets, with notable studies on the trilemma policies and their impacts on inflation, growth, and volatility for Brazil, as well as the effects of peso depreciation on aggregate output in Argentina. Dr. Hsing has also explored exchange rate movements and aggregate output in China, and the relationship between stock market and macroeconomic variables. His scholarly impact is evidenced by an h-index of 20 and an i10-index of 38. Dr. Hsing is indexed in OpenAlex and holds an ORCID iD, further establishing his presence in the global research network.

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