The Law Analyze and Background of the Development of the Albanian and Kosovo Economy

The purpose of this paper is the identification of the relationship between exchange rate and inflation directly and indirectly having their factors in the stability and development of the economy. Identification of variables that determine the behavior of the exchange rate in Albania, as in periods longer-term and short-term analysis of the causes that lead to us to avoidance of the balance of the exchange rate and the consequences arising from such deviation. The findings and analysis, conclusions and recommendations which will be part of important scientific studies in this paper that will serve to assist in the preservation of natural resources in our countries. Another purpose is the direct impact analysis that has the exchange rate of macro economic factors such as economic growth, inflation and employment levels. DOI: 10.5901/ajis.2016.v5n2p95