Alberola, Enrique; Cervero, Susana G.; Lopez, Humberto; … - 2003
This paper attempts to measure the degree of misalignment of the euro - in particular against the dollar - by … estimating equilibrium exchange rates for the euro and the rest of G-7 currencies. Building on the methodology of Alberola et al … fundamentals underlying the behavior of the real exchange rate. Panel cointegration techniques allow for the extraction, using an …