In my recent research of relationship between trade and currency. I study the effect of settlement currency on the trading volume, specifically I measure how much the uniform settlement currency will increase or decrease the trading volume.
I come up with this graph.
I'm currently studying the trading partners of Germany only.
DUE-CHE and DUE-GBR are the control groups.
My regression results are bit counter-intuitive and reverse to my assumptions. Can anyone make an educated guess of if a uniform settlement currency can increase or decrease trading volume on the countries?
