Horvath, Roman; Fidrmuc, Jarko - Institut ekonomických studií, Univerzita Karlova v Praze - 2006
We examine the daily exchange rate dynamics in selected EU new member states (Czech Republic, Poland, Romania, and Slovakia) using GARCH and TARCH models between 1999 and 2004. We show that these countries tried to reduce volatility of the spot exchange rate despite their official policy of free...