Aftab, Muhammad; Rafique, Amir; Lau, Evan - In: Journal of Chinese Economic and Foreign Trade Studies 15 (2021) 1, pp. 1-15
Purpose: The sticky-price monetary model of exchange rate states the overshooting hypothesis as, exchange rate depreciation beyond its long-term value in response to an increase in money supply owing to the sticky nature of prices. Because of interest and relevance to policy, there is a huge...