Revisiting Purchasing Power Parity for Central Asian Countries Using Threshold Cointegration Tests

This study finds evidence supportive of the Purchasing Power Parity for Azerbaijan and Kazakhstan using threshold cointegration tests. This finding suggests the existence of an asymmetry relationship between exchange rate and relative prices. The asymmetric relationship may be due to the heavily regulated price and exchange rate systems in these transition economies for the benefits of trade competiveness.

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Year of publication:	2010
Authors:	Liew, Venus khim-sen ; Puah, Chin-hong ; Choong, Chee-keong ; Lau, Evan
Published in:	Economics Bulletin. - AccessEcon, ISSN 1545-2921. - Vol. 30.2010, 2, p. 1283-1292
Publisher:	AccessEcon
Subject:	Purchasing Power Parity \| Asymmetry \| Threshold Cointegration \| Transition Economies \| Central Asia

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Extent:	application/pdf
Type of publication:	Article
Language:	English
Classification:	G1 - General Financial Markets ; C1 - Econometric and Statistical Methods: General
Source:	RePEc - Research Papers in Economics

Persistent link: https://www.econbiz.de/10008577385