The persistence of real exchange rates in the central and eastern European countries

• Main Authors: Baharumshah, Ahmad Zubaidi, Soon, Siew-Voon, Fountas, Stilianos, Md. Shariff, Nurul Sima
• Format: Article
• Language: English
• Published: Vilnius Gediminas Technical University Press 2015
• Online Access: http://psasir.upm.edu.my/id/eprint/46661/1/The%20persistence%20of%20real%20exchange%20rates%20in%20the%20central%20and%20eastern%20European%20countries.pdf; http://psasir.upm.edu.my/id/eprint/46661/; https://journals.vilniustech.lt/index.php/JBEM/article/view/2244

We investigate the mean reversion in real exchange rates for Central and Eastern European countries. We use point and confidence interval estimates from the Phillips et al.’s (2001) local-persistent model as our preferred measures of the persistence of real exchange rates. We find that the adjustmen...