In this study, we make use of time series analysis to calculate a real effective equilibrium exchange rate for Sweden. The results indicate that the krona was severely overvalued in late 1992, when the fixed exchange rate regime finally was abandoned. Furthermore, the results indicate that the...

The purpose of this paper is to estimate a rudimentary model of the “rest of the world", which may serve as the foreign sector in a model of the Swedish economy. The “rest of the world" is here represented by the US and the euro zone which together cover some two thirds of the Swedish...