Le, Vo Phuong Mai; Meenagh, David; Meenagh, David; … - 2009
We examine a two country model of the EU and the US. Each has a small sector of the labour and product markets in which … to represent the data, we find the model as a whole is rejected. However it is accepted for real variables, output and … the real exchange rate, suggesting mis-specification lies in monetary relationships. The model highlights a lack of …