A reply to “Estimating a bilateral J-curve between the UK and the euro area: An asymmetric analysis”
Journal
The Manchester School
Date Issued
December 1, 2021
Author(s)
DOI
10.1111/manc.12383
Abstract
In 2018, I published an article in this journal aiming to examine whether the UK could potentially benefit from the depreciation of the pound following the Brexit decision. During this year's issue, a study by Bahmani-Oskooee and Karamelikli (2021) suggested that the findings of said article were based on sign misinterpretation. In this article, I explain that the misunderstanding that has arisen is due to an incorrect definition of a variable in the appendix. When the revised definition is taken into consideration, the conclusions reached still hold.