Testing the Purchasing Power Parity Theory : A Case of the Taiwanese Dollar Exchange Rate

From July 1978 to April 1989 Taiwan adopted a snake system by allowing the foreign exchange rate to fluctuate within a narrow band of the centered rate. Using monthly data in the Taiwan dollar/U.S. dollar exchange rate, we show that inference on the purchasing power parity hypothesis is sensitive to whether we incorporate double truncation and autoregressive and moving average error terms into the regression model

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Year of publication:	1998
Authors:	Tsurumi, Hiroki ; Chen, Chyong-lin
Publisher:	[S.l.] : SSRN
Subject:	Kaufkraftparität \| Purchasing power parity \| Wechselkurs \| Exchange rate \| Taiwan \| US-Dollar \| US dollar \| Schätzung \| Estimation \| Theorie \| Theory
Description of contents:	Abstract [papers.ssrn.com]

Extent:	1 Online-Ressource
Type of publication:	Book / Working Paper
Language:	English
Notes:	In: Journal of Economic Integration, Vol. 13, No. 2, June 1998 Volltext nicht verfügbar
Classification:	F31 - Foreign Exchange
Source:	ECONIS - Online Catalogue of the ZBW

Persistent link: https://www.econbiz.de/10014221034