We move beyond the all or nothing purchasing power parity (PPP) proposition that has been the norm in previous literature. We test whether inflation, nominal exchange rate volatility, and trade and financial openness influence the stationarity of real exchange rates on a sample of Latin American...

We use seemingly unrelated regressions (SUR) and multivariate regression models (MVRM) in a panel sample of 74 American depository receipts (ADR) programs from Argentina, Brazil, Chile, and Mexico during the period May 1994 to May 2009 to analyze the behavior of ADR returns during the 300-day...