We empirically analyse currency fluctuations in four central European states (CE-4) against the USD and Euro, employing daily data over 1 January 1994 to 10 October 2005 and constructing a dynamic correlation coefficient based on the estimates of a bivariate generalized autoregressive...

This paper estimates the medium-term determinants of the bilateral exchange rate variability and exchange rate pressures for 20 developed countries in the 1990s. The results suggest that optimum currency area criteria explain the dynamics of bilateral exchange rate variability and pressures, to...

This article estimates optimum currency area (OCA) index for the EU New Member States (NMSs). We find that, as compared to the current Euro area countries, the NMSs meet OCA conditions largely and in this respect, are likely good candidates for Euro adoption.