Koedijk, C.G.; Tims, B.; Dijk, M.A. van - Erasmus Research Institute of Management (ERIM), ERIM … - 2004
rates and allows for heterogeneity in the rates of mean reversion. We present evidence in favor of PPP for the full panel of …This paper analyzes purchasing power parity (PPP) for the euro area. We study the impact of the introduction of the … euro in 1999 on the behavior of real exchange rates. We test the PPP hypothesis for a panel of real exchange rates within …