{
  "title": "Competitiveness in Bulgaria: An Assessment of the Real Effective Exchange Rate",
  "publication": "IMF Working Papers, March 1, 2004",
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  "summary": "This paper presents an empirical analysis of the medium- and long-term determinants of the real (effective) exchange rate (RER) of the Bulgarian lev using elements from the natural real exchange rate (NATREX) and the behavioral equilibrium exchange rate (BEER) approaches.",
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    {
      "heading": "Summary",
      "content": "- This paper presents an empirical analysis of the medium- and long-term determinants of the real (effective) exchange rate (RER) of the Bulgarian lev using elements from the natural real exchange rate (NATREX) and the behavioral equilibrium exchange rate (BEER) approaches.\n- The results indicate that the RER is driven by fundamentals, including labor productivity, terms of trade, world real interest rates, gross savings, and foreign direct investment.\n- The model also shows that there is no significant misalignment of the Bulgarian lev."
    },
    {
      "heading": "Methodology",
      "content": "- Approaches used: NATREX (natural real exchange rate) and BEER (behavioral equilibrium exchange rate).\n- Scope: Empirical analysis of medium- and long-term determinants of the Bulgarian lev real effective exchange rate."
    },
    {
      "heading": "Major determinants identified",
      "content": "- Labor productivity\n- Terms of trade\n- World real interest rates\n- Gross savings\n- Foreign direct investment"
    },
    {
      "heading": "Main findings",
      "content": "- The RER of the Bulgarian lev is driven by identified fundamentals (labor productivity, terms of trade, world real interest rates, gross savings, and foreign direct investment).\n- The model indicates there is no significant misalignment of the Bulgarian lev.\n\n---\n\n Content in this bundle\n\n- Wp0437\n  - Wp0437 (Markdown version){rel=\"alternate\" type=\"text/markdown\"}\n  - Wp0437 (PDF){rel=\"external\" type=\"application/pdf\"}\n\n---\n\nSource: https://www.imf.org/en/publications/wp/issues/2016/12/30/competitiveness-in-bulgaria-an-assessment-of-the-real-effective-exchange-rate-17187"
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    "Authors: Piritta Sorsa, Dimitar Chobanov",
    "Published: March 1, 2004",
    "Series: IMF Working Papers",
    "DOI: https://doi.org/10.5089/9781451845600.001",
    "This paper presents an empirical analysis of the medium- and long-term determinants of the real (effective) exchange rate (RER) of the Bulgarian lev using elements from the natural real exchange rate (NATREX) and the behavioral equilibrium exchange rate (BEER) approaches.",
    "The results indicate that the RER is driven by fundamentals, including labor productivity, terms of trade, world real interest rates, gross savings, and foreign direct investment.",
    "The model also shows that there is no significant misalignment of the Bulgarian lev.",
    "Approaches used: NATREX (natural real exchange rate) and BEER (behavioral equilibrium exchange rate).",
    "Scope: Empirical analysis of medium- and long-term determinants of the Bulgarian lev real effective exchange rate.",
    "Labor productivity",
    "Terms of trade",
    "World real interest rates",
    "Gross savings",
    "Foreign direct investment",
    "The RER of the Bulgarian lev is driven by identified fundamentals (labor productivity, terms of trade, world real interest rates, gross savings, and foreign direct investment).",
    "The model indicates there is no significant misalignment of the Bulgarian lev.",
    "**Wp0437**"
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