This paper presents unprecedented exchange rate forecasting results based upon a new model which approximates the gap between the fundamental equilibrium exchange rate and the actual exchange rate with the long-maturity forward exchange rate. The theoretical derivation of our forecasting...

The objective of this study fills a gap in the Hungarian academic literature: its goal, on the one hand, is to systematise the research trends of decision-making and risk preferences at older ages according to the various methodological approaches, including researches based on experiment,...

In the last decade foreign currency indebtedness in Hungary has become a systemic financial problem, which also has a crippling impact on the real economy through its income and lending effects and has a significant constraining impact on economic policy. Besides the exchange rate the interest...

This paper presents unprecedented exchange rate forecasting results, based upon a new model that approximates the gap between the fundamental equilibrium exchange rate and the actual exchange rate with the long-maturity forward exchange rate. The theoretical derivation of our forecasting...

This paper presents unprecedented exchange rate forecasting results, based upon a new model that approximates the gap between the fundamental equilibrium exchange rate and the actual exchange rate with the long-maturity forward exchange rate. The theoretical derivation of our forecasting...

This paper shows that error correction models assuming that long-maturity forward rates are stationary outperform the random walk in out of sample forecasting at forecasting horizons mostly above one year, for US dollar exchange rates against nine industrial countries' currencies, using the...