Exchange Rates and Interest Parity
NBER Working Paper No. 19336
This paper surveys recent theoretical and empirical contributions on foreign exchange rate determination. The paper first considers monetary models under uncovered interest parity and rational expectations. Then the paper considers deviations from UIP/rational expectations: foreign exchange risk premium, private information, near-rational expectations, and peso problems.
Document Object Identifier (DOI): 10.3386/w19336
Users who downloaded this paper also downloaded these: