MACDONALD, RONALD; RICCI, LUCA ANTONIO - In: South African Journal of Economics 73 (2005) 4, pp. 747-753
In this note we show that the real exchange rate was indeed weakly exogenous in some of the specifications in MacDonald and Ricci (2004), but argue this was in all likelihood a function of the relatively limited degrees of freedom. We demonstrate here that by increasing the degrees of freedom,...
