Interest rate parity
Real interest rate parity: evidence from East Asian economies relative to China
... This study examines the real interest rate parity (RIP) hypothesis in the case of East Asian economies by taking China as foreign counterpart. Results obtained from panel unit root tests are in line ...
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Covered Interest Rate Parity: The Case of the Czech Republic
... Covered Interest Rate Parity: The Case of the Czech Republic Bednarik, Radek VSB Technical University, Faculty of Economics, VSB-Technical University of Ostrava, The Faculty of Economics[r] ...
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Long run implications of the covered interest rate parity condition: evidence during the recent crisis and non crisis periods
... covered interest rate parity condition (CIRP) ...by interest rates, leaving the covered CIRP as a valid economic concept, at least in the ...
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Does Uncovered Interest Rate Parity Hold in Turkey?
... Uncovered Interest Rate Parity ...exchange rate regimes, a new area of research starts to involve the investigation whether UIP holds for developing economies ...monthly interest ...
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Predicting Exchange Rate Movements: A Comparison of Using the Big Mac Index and Using Uncovered Interest Rate Parity.
... exchange rate and current interest rate differences works better in emerging market ...exchange rate crisis episodes in ...uncovered interest rate parity work better for ...
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A new Test of Uncovered Interest Rate Parity: Evidence from Turkey
... Uncovered interest rate parity (UIP) states that the nominal interest rate differential between two countries must be equal to expected change in the exchange ...exchange rate ...
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Topics in Empirical Finance: Real Interest Rate Parity, Uncovered Interest Rate Parity, and Forecasting Inflation.
... inflation rate while low growth in the money supply has little effect on ...inflation rate data, which is rarely used in the existing literature, is important for forecasting Chinese ...
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The uncovered interest rate parity failure from 2002 to 2005 : an implicit consensus of carry trade
... high interest rate currency compare to Yen in the beginning of each month, then convert back his fund to Yen at the end of the month, and make another decision in next month according to the interest ...
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Does Uncovered Interest rate Parity Hold After All?
... an interest rate shock in the US will not only affect the US Dollar and the Japanese Yen exchange rate or the US Dollar and the Euro exchange rate, but also the Euro-Yen exchange ...
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Comparing Forecasting Performance of Exchange Rate Models: Evidence from Emerging Asian Economies
... exchange rate models on the Emerging Asian ...Power Parity (PPP), Interest Rate Parity (IRP), Dornbush Frankel Sticky Price Monetary Model (DB), Auto Regressive Integrated Moving ...
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ECONOMIC DETERMINANTS OF EXCHANGE RATE VOLATILITY IN KENYA
... of interest rate and inflation rate differentials on the exchange rate volatility of Kenya Shillings relative to the USA dollar between January 2000 and July ...in interest rate ...
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The Domestic Tax Code, Foreign Exchange Dynamics and Flow of Funds across Countries
... the Parity Theorems that link changes in the foreign exchange rate to changes in inflation and interest ...The Interest Rate Parity Theorem (IRP), also known as and the ...
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A New Unit Root Test against Asymmetric ESTAR Nonlinearity with Smooth Breaks
... critical values. Section 3 analyzes the properties of small samples. Section 4 provides an empirical application aiming at the real interest rate parity hypothesis (RIRPH), and final section ...
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A parametric, model-based, assessment of the post-floating behaviour of the Indonesian currency - October 2000 to March 2003
... 4.2.4 Trade Parity ...................................................Error! Bookmark not defined. 4.3 Data Sources ........................................................Error! Bookmark not defined. 4.4 Scope ...
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Capital flows, institutions, and financial fragility
... exchange rate, foreign creditors are willing to lend excessively to the domestic banking sector as long as the expected level of the government’s contingent liabilities is below the level of the country’s ...
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Testing the Foreign Exchange Parity Relations: A Case Analysis of UK Sterling, Japanese Yen and Us Dollar
... Reminding the null hypothesis of CIP = 0 and =1 suggesting forward premium or discount is not significantly differential from the interest rate differential. If CIP does not hold, the arbitrage opportunity ...
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Breakdown of covered interest parity: mystery or myth? 1
... an interest rate that is lower than the benchmark money market ...foreign interest rate than the benchmark foreign money market rate for the same ...benchmark interest ...
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Panel Cointegration and the Monetary Exchange Rate Model
... In this paper, we simultaneously consider heterogeneity, cross-sectional dependence and structural breaks, which have not received much attention in previous panel based studies of the monetary exchange rate ...
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The Economics of Uncovered Interest Parity Condition for Emerging Markets: A Survey
... going structural changes in emerging markets emphasize structural-break analysis. Second, significant policy changes which are anticipated but not materialized for prolonged periods are more likely to be observed for ...
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Forward Bias, Uncovered Interest Parity and Related Puzzles
... DOI: 10.4236/tel.2018.812171 2719 Theoretical Economics Letters A combination of liquidity and inflationary effects help explain negative b ˆ under flexible rates, but not other regimes, because central banks have more ...
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