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We look at a simple financial model of exchange rate determination with investors who have heterogeneous information. The exchange rate can be expressed as a sum of averages of higher order expectat...
Casual observation suggests that many contracts in the real world are not of uniform length; for example, recent wage concessions in the United States have lead to termination of union contracts bef...
Foreign participation in local-currency-bond markets in emerging countries has increased dramatically over the past decade. In light of this trend, we revisit the question of the optimal exchange-rate...
Discusses the role of fixed exchange rate systems during international debt crises. Vulnerability of countries with open capital markets to financial crises; Criticisms against the actions of Asian ec...
Using data for the Philippines, I develop and estimate a heterogeneous agent model to analyze the role of monetary policy in a small open economy subject to sizable remittance fluctuations. I include ...
This paper investigates how a change in monetary policy affects the degree and the speed of exchange rate pass-through to import prices in the emerging market economy, using a newly constructed data s...
We make the first attempt in the literature to empirically investigate the role of financial development in the choice of exchange rate regimes. Using a binary choice model, we first show that financi...
his paper models the return series of USD/CNY exchange rate by considering the conditional mean and conditional volatility simultaneously. An index type functional-coefficient model is adopted to mode...
In this paper we examine the sensitivity of financial sector stock returns to market, interest rate, and exchange rate risk in three financial sectors (Banking, Financial Services and Insurance) in 16...
This paper discusses the exchange rate policies in the three stages of the euro adoption process. In the first stage, i.e., after EU accession but before ERM II entry, the exchange rate becomes a mat...
This paper presents a short-run dynamic panel model for the relationship between aggregate net foreign capital transfers and the real exchange rate in twenty-four Sub-Saharan African countries. The re...
In this article we show that mean-adjusting panel and univariate time series unit root tests yield similar size when there is no drift. The conclusion of the empirics for Purchasing Power Parity is th...
This paper estimates the value of the RCU as a weighted average of East Asian currencies following the method used to calculate the ECU. The weight of component currencies is determined on the basis o...
The objective of this paper is twofold. First, to compare the model of financial stabilization in the interwar period in France (a country in the “core”) with that in Bulgaria (a peripheral country)....

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