COINTEGRATING RELATION BETWEEN EXCHANGE RATE AND GOLD PRICE
Journal Title: International journal of research -GRANTHAALAYAH - Year 2017, Vol 5, Issue 10
Abstract
The very purpose of this paper is to analyse the relationship between gold price and Rupee – Dollar exchange rate in India. The study utilises the annual data of exchange Rate (ER) and Gold Price (GP) from 1970 to 2015 to determine the relationship. Different econometric tools like Unit root test, Johansen co integration test, Vector error correction model, Granger causality test are used for detecting the long run relation, if any between the mentioned variables. The result shows that there exists a long run cointegrating relation between the variables. That is we can stabilise the Gold Price movement by controlling the exchange rate fluctuations. Likewise it also shows that Exchange rate doesn’t Granger cause to Gold price and vice versa. It means that the time series data of one vasriable cannot be used to predict another.
Authors and Affiliations
Keywords
Related Articles
- EP ID EP232619
- DOI 10.5281/zenodo.1043230
- Views 113
- Downloads 0
THE CHALLENGES OF PROFESSIONAL ACCOUNTING PRACTICES IN NIGERIA PRIVATE SECTOR WITH RESPECT TO FINANCIAL FAILURES IN RECENT TIMES
This paper seeks to examine the challenges of professional accounting practices in Nigeria private sector with respect to financial failures in recent times. Survey technique was used and a total sample of one hundred an...
AN ANALYSIS ON THE SELF-INITIATION SELF REPAIR STRATEGIES OF THE THIRD SEMESTER STUDENTS OF ENGLISH STUDY PROGRAM IN THE ORAL INTERACTION WITH THEIR LECTURER AT WIDYA MANDIRA CATHOLIC UNIVERSITY KUPANG IN ACADEMIC
This article studies self-initiation self-repair employed by the third semester students of English study program of Widya Mandira catholic university Kupang on speaking class, aims at finding out whether or not the thir...
DIMINUTION OF REAL POWER LOSS BY VALUE-ADDED BAT ALGORITHM
In this paper, a new Value-added Bat Algorithm (VBA) is proposed to solve reactive power problem. Echolocation is a significant feature of bat behavior and it produce a sound pulse and listens to the echo bouncing back f...
THE ADVANTAGE OF GENETIC ALGORITHM IN ENERGYEFFICIENT SCHEDULING FOR HETEROGENEOUS CLOUD COMPUTING
Nowadays Energy Consumption has been a heavy burden on the enterprise cloud computing infrastructure. This paper focuses on the hardware factors in energy consumption. Inspired by DVFS, it proposes a new energy-efficient...
THE ROLE OF ACADEMIC MOTIVATION AND ACADEMIC SELF CONCEPT IN STUDENT’S ACADEMIC ACHIEVEMENT
Education is important to cultivate good values among the public in society. Education helps men to develop their life style. The ultimate goal of school is to educate young people to become responsible. Education is the...