Financial Market: Real Effective Exchange Rates: Unit Labor Costs Based for Slovak Republic

CCRETT02SKA661N • Economic Data from Federal Reserve Economic Data (FRED)

Latest Value

108.93

Year-over-Year Change

11.50%

Date Range

1/1/1993 - 1/1/2024

Summary

This economic trend measures the real effective exchange rate (REER) for the Slovak Republic, based on unit labor costs. The REER is an important indicator of a country's international competitiveness and can inform policymakers on exchange rate and trade dynamics.

Analysis & Context

This economic indicator provides valuable insights into current market conditions and economic trends. The data is updated regularly by the Federal Reserve and represents one of the most reliable sources for economic analysis.

Understanding this metric helps economists, policymakers, and investors make informed decisions about economic conditions and future trends. The interactive chart above allows you to explore historical patterns and identify key trends over time.

About This Dataset

The real effective exchange rate (REER) tracks the value of a country's currency relative to a basket of trading partners' currencies, adjusted for changes in relative prices or costs. The REER based on unit labor costs provides insights into a country's price and cost competitiveness in international markets.

Methodology

The data is calculated by the U.S. Federal Reserve using exchange rates and labor cost indices.

Historical Context

Policymakers and analysts monitor the REER to assess a country's export performance and potential trade imbalances.

Key Facts

  • The REER is based on a trade-weighted basket of currencies.
  • A rising REER indicates an appreciation in the domestic currency.
  • The REER accounts for both nominal exchange rates and relative prices or costs.

FAQs

Q: What does this economic trend measure?

A: This trend measures the real effective exchange rate (REER) for the Slovak Republic, which tracks the value of the Slovak koruna relative to a basket of trading partners' currencies, adjusted for changes in relative prices or unit labor costs.

Q: Why is this trend relevant for users or analysts?

A: The REER is an important indicator of a country's international competitiveness, as it provides insights into the country's price and cost competitiveness in international markets. Policymakers and analysts monitor the REER to assess export performance and potential trade imbalances.

Q: How is this data collected or calculated?

A: The data is calculated by the U.S. Federal Reserve using exchange rates and labor cost indices.

Q: How is this trend used in economic policy?

A: Policymakers and analysts use the REER to assess a country's export performance and potential trade imbalances, which can inform decisions on exchange rate, trade, and economic policies.

Q: Are there update delays or limitations?

A: The REER data may have update delays due to the time required to collect and process the underlying exchange rate and labor cost information.

Related Trends

Citation

U.S. Federal Reserve, Financial Market: Real Effective Exchange Rates: Unit Labor Costs Based for Slovak Republic (CCRETT02SKA661N), retrieved from FRED.