reduced form equations which can be used to examine such issues as capital market segmentation, currency substitution …, exchange rate volatility, and the forward exchange market's risk premium. Mechanically, the model begins as a system of … stochastic differential equations which describe the dynamic paths of a vector of state variables, prices, and PPP deviations …

We test for efficiency in the market for Swedish co-ops by examining the negative relationship between the sales price … and the present value of future rents. If the co-op housing market is efficient, the present value of co-op rental …-series tests of housing market efficiency. …

composition of expenditure, and on the wedge between consumer and domestic prices, rather than on the response of aggregate output … and domestic prices. …

the special case in which prices are sticky and wages are perfectly flexible. When the model is calibrated to exhibit an …

experienced the most pronounced fluctuations in income and prices of this century. Is our current understanding of the behavior of … suggest that the role of income and prices in determining imports is not known with any precision. This paper offers the first …-1992 data, I find that income and prices do not affect imports whereas the opposite conclusion arises with postwar data. The …

If price levels are initially different across the euro area, convergence to a common level of prices would imply that … inflation will be higher in countries where prices are initially low. Price level convergence thus provides a potential … between 1990 and 1999 prices did become less dispersed in the euro area. Convergence is especially evident for traded goods …

We reexamine the evidence for border effects in deviations from the law of one price, using data for consumer prices … rather than price index data. We find evidence of border effects both in the levels of prices and the percentage change in … prices. Even accounting for distance between cities and relative population sizes, we find that the absolute difference …

.S.-Mexican relative prices and find that it is nearly an order of magnitude larger than for U.S.-Canadian prices. However, during a very … very slightly. We also present evidence that the border effect in U.S.-Mexican prices is not primarily due to the border … effect in U.S.-Mexican wages. Finally, using the prices of 276 highly dis-aggregated goods and services, we estimate the …

purely a result of market segmentation or do sticky nominal prices play a role? We also examine how the degree of tradability …We use new disaggregated data on consumer prices to determine why there is variability in prices of similar goods … the variation in prices between pairs of cities. But we also find that nominal price stickiness plays an even more …