We examine exchange rate pass-through (ERPT) into aggregate import prices for nine OECD countries in view of Taylor's [Taylor, J., (2000). Low Inflation, Pass-through, and the Pricing Power of Firms, European Economic Review 44 (7), 1389–1408] suggestion that the degree of pass-through is...

In this paper we analyze the existence of nonlinear relationships between macroeconomic fundamentals and exchange rates for some major industrialized countries using an error correction model with time-varying parameters for the post Bretton Woods period. We find that inflation rate...

In this article, we propose to augment the traditional relationship between real exchange rates and real interest rates (RERI) by adding the stock market equilibrium condition to it. We introduce the relative dividend yield as the new information variable. In the empirical analysis, we use...