Year: 2023
Type: conference-paper
Abstract: This study aims to identify the dynamic interplay between the Baht/USD exchange rate, US discount rate, and Stock Exchange of Thailand index, by utilizing the vector error correction model. Utilizing daily data from 04/01/2017 to 14/07/2021, obtained from the Bank of Thailand website, the empirical evidence reveals a long-run relationship between the Baht/USD exchange rate, US discount rate, and Stock Exchange. Furthermore, the results indicate bidirectional short-run relationships between these variables. These findings provide governments and investors with a valuable insight into the interplay between these variables, enabling them to plan effective investment strategies to reduce risk and maximize returns.
Author: Adirek Vajrapatkul
Institution: Sukhothai Thammathirat Open University
Language: English
Domain: Social Sciences
Open Access status: bronze
OpenAlex ID: W4389780940