Recent theoretical developments in exchange rate economics have led to important new insights into the functioning of the foreign exchange market. The simple models of the 1970s, which could not withstand empirical evaluation, have been succeeded by more complex models that draw on theoretical...

In the past years several researchers have called attention to the decline of the rate of return on capital. The difference of these investigations is based on the following items: 1. the country for which the investigation is carried out; 2. the period of time covered by the investigation; 3....