Patterns in Exchange Rate Forecasts for 25 Currencies

We investigate the properties of exchange rate forecasts with a data set encompassing a broad cross section of currencies. The key finding is that expectations appear to be biased in our sample. This result is robust to the possibility of random measurement error in the survey measures. Investors would be better off placing less weight on their forecasts or the forward rate, and more on the current spot rate.

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Year of publication:	1991-08
Authors:	Chinn, Menzie ; Frankel, Jeffrey Alexander
Institutions:	National Bureau of Economic Research (NBER)

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Extent:	application/pdf
Series:	NBER Working Papers.
Type of publication:	Book / Working Paper
Notes:	ITI IFM published as Journal of Money, Credit, and Banking. vol. 26, no. 4, Nov. 1994.pp. 754-770 Number 3807
Source:	RePEc - Research Papers in Economics

Persistent link: https://www.econbiz.de/10005828745