Chang, Tsangyao; Su, Chi-Wei; Lee, Chia-Hao - In: Applied Economics Letters 19 (2012) 10, pp. 975-979
This study applies the Threshold Autoregressive (TAR) model proposed by Caner and Hansen (2001) to test the validity of long-run Purchasing Power Parity (PPP) of nine East-Asian countries over the period January 1986 to October 2009. The empirical results indicated that PPP holds true for more...