Parity Theorems Revisited: An Ardl Bound Test With Non-parity Factors

• Main Authors: Mohamed Ariff, Mohamed Ariff, Zarei, Alireza
• Format: Article
• Language: English
• Published: Asian Academy of Management (AAM) 2015
• Subjects: HD28-70 Management. Industrial Management
• Online Access: http://eprints.usm.my/40028/1/AAMJAF_11%281%29_2015-Art._1%281-26%29.pdf; http://eprints.usm.my/40028/; http://web.usm.my/journal/aamjaf/11-1-1-2015.html

The research question addressed in this paper is, do inflation and interest rate differences across two major economies fully drive the long-run exchange rate changes if controls for non-parity factors are embedded? Exchange rate behaviour research is once again an interesting topic given the ava...