This study examines the impacts of real exchange rate fluctuations on the companies' strategic investments in Iran. The data of 92 listed companies in Tehran Stock Exchange during the period of 2002-2015areused. First, the volatility of exchange rate is estimated by the Generalized Autoregressive Conditional Heteroskedasticity (GARCH). The model is estimated by GMM and system GMM methods. The results show that the relationship between exchange rate volatility and companies' strategic investments has an inverse U-shaped. The estimation result of GMM method shows that the inflection points for volatility of exchange rate and its lag are 0.08% and 0.13% respectively. When we estimate the model with system GMM the inflection point for exchange rate volatility and its lag are 0.05% and 0.11%, respectively. Moreover, we find out that the first lag of investment and cash flow variables have had positive and significant effects on strategic investment.

Iran's share of world exports during the recent years was not remarkable. Therefore, development of nonoil export is necessary to reduce dependence on oil revenues. Real exchange rate is one of the important variables affecting the non-oil export. In this context the behavior of real exchange rate effects on different economic variables, such as export is important. The main objective of this study is to investigate the effects of real exchange rate volatility on the non-oil export during the years of 1971-2006 in Iran. To achieve this purpose, the model of study is estimated using Johansen Juselius cointegration and VECM approach. The findings indicate that the domestic and foreign GDP have positive long-time effect on real export in Iran economy. The terms of trade and real exchange rate volatility indices have negative effects on export in the study period. These findings are compatible with theoretical and empirical studies in developed and developing countries. The above findings were approved by the impulse response functions results. The main policy implication of this study is that, the government by using appropriate exchange and monetary policies should reduce the volatility of real exchange rate.

The present study, in the form of a state-dependent model and during the period 2001:6-2019:12, investigates which of the components of monetary aggregates has the greatest impact on real exchange rate volatility of Iran. In order to achieve this goal, the variables of money, quasi-money, liquidity and monetary base are considered as monetary aggregates and in order to avoid multicollinearity between monetary aggregates, four Markov Switching Exponential GARCH models with fixed transition probability are estimated. The findings of the study also indicate that in both low and high regimes of real exchange rate volatility, monetary aggregates have a positive and significant effect on real exchange rate volatility and the effect of monetary aggregates in low regime of real exchange rate volatility is different from the high regime, so monetary variables have an asymmetric effect on real exchange rate volatility. In addition, in both the low and high regimes of real exchange rate volatility, the monetary base had a greater effect on real exchange rate volatility than other components of monetary aggregates. Therefore, controlling the components of monetary aggregates, given the importance of each in the up and down state of real exchange rate regime, can be considered as a strategic point by economic policymakers.

Trade openness as an index of globalization has an effect on exchange rate volatility. In this paper, the impact of trade openness on real exchange rate volatility has been investigated by using annual time series data in Iran over 1971-2005. The GARCH model is used to estimate real exchange volatility. The empirical model has been estimated by using Johansen's multivariate co-integration method, the main results indicate that the trade openness has a negative impact on real exchange rate volatility and both real GDP per capita and inflation have positive and significant effects on real exchange rate volatility. JEL Classification: C22, E31, F31.

In many emerging and developing economies, sudden changes and volatilities in the exchange rate can be negatively affect economic growth by decline in investment, trade balance and profitability. Considering the fact that these economies are vulnerable to changes in capital inflows; remittances as one of the most important capital and financial inflows can lead to volatility and uncertainty in the exchange rate of developing countries and cause instability in the economy. Thus In this study, the mutual relationship between real exchange rate volatility and remittances volatility has been investigated and empirically analyzed by the use of Generalized Autoregressive Conditional Heteroskedasticity (GARCH) and three stage least square (3SLS) of simultaneous equations system approaches in the selected developing countries including Iran over the period 1980-2015. The results demonstrate that there is a relationship between the real exchange rate and remittances volatilities. In the meanwhile, the exchange rate volatility has a greater and significant effect on the volatility of remittances; while their reverse effect is small. In other words, the remittances volatility does not have a significant effect on the exchange rate volatility, which leads to economic stability. In addition, foreign direct investment, government spendings and trade openness cause volatilities in real exchange rates, and on the other side, inflation, financial development, household expenditure per capita and age dependency are the influential factors of remittances volatility in the studied countries.