Purchasing power parity in South East Asian countries economies: a cointegration approach

• Main Authors: Baharumshah, Ahmad Zubaidi, Ariff, Mohamed
• Format: Article
• Language: English; English
• Published: East Asian Economic Association and Wiley Publishing Asia 1997
• Online Access: http://psasir.upm.edu.my/id/eprint/40176/1/Purchasing%20power%20parity%20in%20South%20East%20Asian%20countries%20economies%20a%20cointegration%20approach.pdf; http://psasir.upm.edu.my/id/eprint/40176/7/Asian%20Economic%20Journal%20-%202002%20-%20Baharumshah%20-%20Purchasing%20Power%20Parity%20in%20South%20East%20Asian%20Countries%20Economies%20%20A.pdf; http://psasir.upm.edu.my/id/eprint/40176/; http://onlinelibrary.wiley.com/doi/10.1111/1467-8381.00028/abstract

This paper presents findings from a study of the long-run purchasing power parity (PPP) conditions in five Asian economies. The cointegration tests using exchange rates and price indices from end-of-quarter observations over the last twenty years reject the PPP proposition for all countries. The abs...