In this study, we consider 15 countries and examine the relationship between exchange rate volatility and macroeconomic volatility. We show that, in general, empirical support for the existence of a link between exchange rates and macroeconomic fundamentals is very weak and that other factors...

The purpose of this study is to establish the determinants of stock market returns for the UK market and to forecast the real capital gain for the Financial Times All-share index using monthly data for the period 1980-1994. Three models are used: (a) a model based on Fama's approach including...

The paper examines the behaviour of bilateral real exchange rates between Germany and fourteen major economies for the period January 1972 to December 1994. Time series techniques are used to consider a number of hypotheses including whether the real exchange rate is mean reverting; whether...

The objective of this paper is to estimate both long-run reserves and long-run money demand equations using the multivariate cointegration approach. An economic model is constructed, based on the monetary approach to the balance of payments, in which the monetary authorities can control the...