Dynamics of Exchange Rate Fluctuations between Yen and the US-Dollar

Fluctuations of yen exchange rate to US-dollar are analyzed by a method of classical mechanics. The fluctuations are explained by a linear inhomogeneous differential equation of the second order with a constant coefficient. The inhomogeneous term is an external force. Using a method of the least squares, we determine a polynomial expression of the external force. It is known that the depreciation of yen is caused by decreasing of the external force toward its minimum.

MoreLess

Year of publication:	2004
Authors:	Obara, T.
Published in:	Applied Econometrics and International Development. - Euro-American Association of Economic Development. - Vol. 4.2004, 1
Publisher:	Euro-American Association of Economic Development

More details

Type of publication:	Article
Language:	English
Classification:	C51 - Model Construction and Estimation
Source:	RePEc - Research Papers in Economics

Persistent link: https://www.econbiz.de/10004965305