This paper analyzes the exchange rates and consumer price indices of the six largest countries of the European Monetary System (EMS). The analysis covers the entire period of floating exchange rates. This paper shows that many of the implied real exchange rates have unit roots, even when one...

This paper uses computational techniques to explore the relationship between trade and war. It develops and simulates an agent-based model in which trade and military conflict are emergent processes within a system of states. The model explores different initial configurations, and the economic...

We develop a classroom experiment on exchange rate determination appropriate for undergraduate courses in macroeconomics and international economics. Students represent citizens from different countries and need to obtain currency to purchase goods. By participating in a sealed bid auction to...

The authors developed a classroom experiment on exchange rate determination appropriate for undergraduate courses in macroeconomics and international economics. In the experiment, students represent citizens from different countries and need to obtain currency to purchase goods. By participating...

This paper investigates the impact from changes in "new" and "old" economy stock valuations on private consumption. The results from estimating a reduced form VAR for seven OECD countries for the 1990s suggest that the impact from changes in old economy stock valuations on consumption is, in...