Senegal's exchange rate changes fail to improve trade balance, study finds.
The article explores how changes in exchange rates affect Senegal's trade balance. Researchers studied the relationship between the real effective exchange rate and trade balance using econometric tools. They found that the traditional idea that devaluing currency can improve trade balance doesn't always hold true. Some studies supported the J-curve theory, while others did not find a significant link between exchange rates and trade balance. Overall, the research showed that the relationship between exchange rates and trade balance is complex and not always as straightforward as expected.