Similar Search Results

Is Real Exchange Rate Mean Reversion Caused By Arbitrage?

Campa, Jose M. - 1997

The presence of purchasing power parity is often attributed to the exploitation of arbitrage opportunities in goods … limited support for a simple arbitrage view. The deviations of real exchange rates and trade from trend are virtually … reversion. Both may, of course, reflect expectations of trade responses, opening an indirect role for incipient arbitrage in …

Persistent link: https://www.econbiz.de/10012472652

The Adjustment of Prices and the Adjustment of the Exchange Rate

Engel, Charles - 2001

The purchasing power parity puzzle relates to the adjustment of real exchange rates. Real exchange rates are extremely volatile, suggesting that temporary shocks emanate from the monetary sector. But the half-life of real exchange rate deviations is extremely large -- 2.5 to 5 years. This...

Persistent link: https://www.econbiz.de/10012470168

Pricing to Market, Staggered Contracts, and Real Exchange Rate Persistence

Bergin, Paul R. - 1999

This paper offers an explanation for the persistence observed in real exchange rate movements. The model combines pricing to market behavior with sticky prices generated by staggered contracts. A translog preference structure is sued to enhance both features. The paper finds that openness limits...

Persistent link: https://www.econbiz.de/10012471774

The Current Account and the Real Exchange Rate : A Structural VAR Analysis of Major Currencies

Lee, Jaewoo - 1998

A sticky-price model is used to motivate a structural VAR analysis of the current account and the real exchange rate for seven major industrialized countries (the US, Canada, the UK, Japan, Germany, France and Italy). The analysis is distinguished from previous work in that it adopts minimal...

Persistent link: https://www.econbiz.de/10012472307

The Geography and Channels of Diffusion at the World's Technology Frontier

Keller, Wolfgang - 2001

Convergence in per capita income turns on whether technological knowledge spillovers are global or local. Global spillovers favor convergence, while a geographically limited scope of knowledge diffusion can lead to regional clusters of countries with persistently different levels of income per...

Persistent link: https://www.econbiz.de/10012470576

An International Comparison of Employment Adjustment to Exchange Rate Fluctuations

Burgess, Simon - 1996

This paper evaluates the response of employment to exchange rate shocks at the industry level for the G-7 countries. Using a simple empirical framework that places little a priori structure on the pattern of response to shocks, we find the data are consistent with the view that employment in...

Persistent link: https://www.econbiz.de/10012472967

The Comovements between Real Activity and Prices in the G7

Haan, Wouter J. Den - 2001

In this paper, we study the short-run and long-run comovement between prices and real activity in the G7 countries during the postwar period using VAR forecast errors and frequency domain filters. We find that there are several patterns of the correlation coefficients that are the same in all...

Persistent link: https://www.econbiz.de/10012470531

Generalized Solow-Neutral Technical Progress and Postwar Economic Growth

Boskin, Michael J. - 2000

Using revised, updated, and consistent annual post-World War II data from the G-7 countries developed by us, we econometrically estimate and test alternative explanations of the structure of economic growth in a model with three inputs tangible capital, labor, and human capital which permits the...

Persistent link: https://www.econbiz.de/10012470707

Understanding the "Problem of Economic Development" : The Role of Factor Mobility and International Taxation

Razin, Assaf - 1999

The problem of economic development,' as Lucas (1988) states it, is the problem of accounting for the observed diversity in levels and rates of growth of per capita income across countries and across time. We study conditions under which capital mobility and labor mobility (two seemingly...

Persistent link: https://www.econbiz.de/10012471679

International Competition and Exchange Rate Shocks : A Cross-Country Industry Analysis of Stock Returns

Griffin, John M. - 1997

It is widely accepted that, for some industries, competition across countries is" economically important and that this competition is strongly affected by exchange rate changes." This paper explores the validity of this view using weekly stock return data on 320 industry pairs" in six countries...

Persistent link: https://www.econbiz.de/10012472569

1
2
3
4
5
6
7
8
9
10
Next
Last