Determining the Monetary Jump and Exchange Rate Transition in Iran

Exchange rate impulses are of double importance due to their adverse effects on the performance of economic variables. On the other hand, the monetary jump of the exchange rate is one of the unusual behaviors of the exchange rate. The purpose of this article is to investigate the monetary jump of the exchange rate during the years 1370 to 1400.

The present research has investigated the topic of the article with the ARDL method for the years 1370 to 1400.

Ethical Considerations:

 In this article, the originality of the texts, honesty and trustworthiness are observed.

Determining the monetary jump and exchange rate crossing occurs when, after an unexpected monetary expansion, due to the slowness of adjustment in the goods market compared to the assets market, the exchange rate jumps to a level beyond its long-term value. Based on the results of expansionary monetary policies, it has a positive and meaningful effect on the exchange rate in Iran, and since the changes in monetary policies in Iran are increasing; Therefore, it can cause a jump in exchange rate changes. Due to the fact that the estimated coefficient is smaller than unity.

It can be acknowledged that there is a monetary jump; But it is not severe and also according to the obtained results, there is an incomplete exchange rate pass.