account deficits and investment rises. Fourth, the strength of the relative price appreciation following sector productivity …

is provided by a productivity-based model of the real value of the euro. Some panel regression estimates of the … relationship between intercountry relative productivity differentials and real exchange rates is presented. Using these estimates … to conduct some calculations, one comes to the conclusion that unless drastic changes to productivity trends occur, there …

This study evaluates the individual roles of monetary and productivity shocks in real exchange rate fluctuations under … suggests that common-trend innovations are ascribed mostly to productivity shocks, whereas transitory innovations are governed … by monetary shocks. The allowance for productivity shocks, however, appears insufficient to fully explain the high …

This paper documents the evidence for a productivity based model of the Dollar/Euro real exchange rate over the 1985 …-2001 period. Cointegrating relationships between the real exchange rate and productivity, government spending and the real price … the US-Euro area productivity differential results in a five percentage point real appreciation of the dollar. This …

The paper explores the optimal monetary policy reaction to productivity shocks in an open economy. Whereas earlier …

The evidence for a productivity-based explanation for real exchange rate behavior of East Asian currencies is examined …. Using sectoral output and employment data, relative prices and relative productivity levels are calculated for China … rates and relative productivity ratios, one finds a relationship for Japan, Malaysia, the Philippines. Only when augmenting …

In this paper the evidence for a productivity-based explanation for real exchange rate behavior of East Asian … real exchange rates and relative productivity ratios, one finds a relationship for Japan, Malaysia, and the Philippines … panel regressions incorporating productivity variables, as well as other demand side factors, are less encouraging, except …

The continuing strength of the dollar has fueled interest in the relationship between productivity and exchange rates …. An analysis of the link between the dollar's movements and productivity developments in the United States, Japan, and the … euro area suggests that productivity can account for much of the change in the external value of the dollar over the past …