Chen, Jian; Mark, Nelson C - In: International Journal of Finance & Economics 1 (1996) 4, pp. 229-50
This paper employs quarterly observations on US dollar prices of the pound, Deutschmark, Swiss franc, and yen from 1973,2 to 1994,4 to sort out three broad issues raised by recent work showing that economic fundamentals have predictive power for exchange rates at long horizons. Three alternative...