This paper examines the Malaysian foreign exchange market efficiency for the USD, Singapore dollar, pound, and yen over the 1980:1-1994:12 period by utilizing Johansen-Juselius (JJ) Maximum Likelihood procedure. The bivariate cointegration results show the absence of cointegration among the...

The purpose of this paper is to estimate the demand for money in Malaysia over the 1980:1-1994:10 period using cointegration and error correction methodology. The analysis shows that money balance, income, exchange rate, price and interest rate are cointegrated. Thus, the long- run demand for...

The article’s main objective is to investigate the empirical link between the fiscal balance and the current account (i.e. the twin deficits phenomenon). The article focuses on transition economies which are according to their different characteristics divided into three major groups, i.e....

Recent articles in International Organization and elsewhere have explored the role of domestic institutions in shaping exchange rate regime choice. These articles use some variation on the information reported by governments to the International Monetary Fund as their dependent variable. Even...

This paper examines data for stock prices and price levels of 14 developed countries during the post-WWII era and compares their behavior in that sample with behavior over the past two centuries in the UK and the US. Contrary to much of the literature of the past several decades, we find that...

A model of national price levels is developed to lay bare implicit assumptions behind the conventional view on the effect of productivity differentials and net foreign assets. The effect of productivity on national price levels is determined by the interaction of several countervailing channels,...

In this paper, we examine the reaction of stock market returns and volatility in a diverse group of six emerging markets to a set of IMF events. In particular, we test within a panel framework whether there was an "investor panic" causing a significant drop in stock market returns on the days of...