Some recent studies suggest the post-Bretton Woods period offers a sample that is far too short to reveal any significant evidence on purchasing power parity reversion in individual series of real exchange rates. This study shows that the post-Bretton Woods data contain substantial information...

Long-term comovements of national stock markets in three EMS (European Monetary System) countries--France, Germany and Italy--are examined. The EMS stock markets are found to display long-term comovements governed by two common permanent components. To identify some interpretable sources of such...