Flood, Robert P.; Rose, Andrew K.; Mathieson, Donald J. - Federal Reserve Board (Board of Governors of the … - 1990
obtain a measure of the fundamental determinant of exchange rates. Daily data for the European Monetary System is then used … to explore the importance of non-linearities in the relationship between the exchange rates and fundamentals. While some … statistical evidence of non-linearities in conditional means of exchange rates is detected, these seem to have little economic …