Stochastic processes and target zones revisited

We construct a model of exchange rate target zones that allows the stochastic process, with a closed-form general solution, to include the possibility of lagged response of fundamentals.

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Year of publication:	2012
Authors:	Beladi, Hamid ; Chakrabarti, Avik
Published in:	Economics Letters. - Elsevier, ISSN 0165-1765. - Vol. 116.2012, 1, p. 34-36
Publisher:	Elsevier
Subject:	Target zones \| Exchange rate \| Stochastic processes

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Type of publication:	Article
Classification:	F3 - International Finance ; F33 - International Monetary Arrangements and Institutions
Source:	RePEc - Research Papers in Economics

Persistent link: https://www.econbiz.de/10010572202