The effects of effectıve euro exchange rate uncertaınty on the export of Euro Area

This paper examines the effects of exchange rate volatility on the export flows of Euro Area to its 12 major trading partners for the monthly time series covering the time period 2002:01-2010:12. Econometric method is autoregressive distributed lag (ARDL) bound test approach providing the opportunity to predict with different levels of integration. Findings suggest that volatility affect export negatively in short-run, and affects positively in long-run. However, effects both in short and long-run is very weak, i.e, is negligible.