Chambers, Marcus J.; McCrorie, J. Roderick - In: International Economic Review 47 (2006) 2, pp. 573-582
This article is concerned with issues of model specification, identification, and estimation in exchange rate models with unobservable fundamentals. We show that the continuous-time model proposed by Gardeazabal, Regúlez, and Vázquez ("International Economic Review" 38 (1997), 389-404) is not...