Results 251 to 260 of about 96,288 (300)

The evolution of purchasing power parity

Journal of International Money and Finance, 2020
Abstract A large body of literature in international finance has attempted to estimate the speed of convergence between countries’ aggregate price indices to those levels predicted by purchasing power parity (PPP). This paper takes a novel approach by considering how this speed of convergence itself has evolved over time.
Collin Rabe, Andrea Waddle
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An alternative test of purchasing power parity

Economics Letters, 2006
Abstract The Fisher and Seater [Fisher, M.E. and Seater, J.J., 1993. Long run neutrality and superneutrality in an ARIMA framework. American Economic Review 83, 402–415.] methodology is applied to Taylor's [Taylor, A.T., 2002. A century of purchasing power parity.
Wallace, Frederick, Shelley, Gary L.
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Cointegration and Tests of Purchasing Power Parity

The Review of Economics and Statistics, 1988
Nonstationarity in the levels of spot exchange rates and domestic and foreign price indices makes the use of conventional tests of the absolute version of purchasing power parity (PPP) inappropriate. If PPP is true, inter-country commodity arbitrage ensures that deviations from a linear combination of spot exchange rates and domestic and foreign price ...
Corbae, Dean, Ouliaris, Sam
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Extrapolations of Purchasing Power Parities

1990
Publisher Summary This chapter presents the results of various experiments in extrapolating purchasing power parities to help define a procedure for obtaining annual estimates of the products of the Latin American countries expressed in a common currency.
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CATEGORISATION OF ADDITIVE PURCHASING POWER PARITIES

Review of Income and Wealth, 1999
Additivity is an important property for the aggregation methods used in constructing purchasing power parities. For a practical definition of additivity, this paper categorises all aditive methods. First of all, a generalisation of the Geary‐Khamis method of aggregation is defined: this is called the Generalised Geary‐Khamis, (GGK), approach.
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The overvaluation of purchasing power parity

Journal of International Economics, 1998
Abstract Recent panel studies of purchasing power parity have reported strong evidence of mean-reversion in real exchange rates. However, these studies fail to control for cross-sectional dependence in the data. This failure has dramatic consequences, raising the significance level of tests with a nominal size of 5 percent to as much as 50 percent ...
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An Alternative Version of Purchasing Power Parity

International Journal of Finance & Economics, 2019
AbstractA vast literature on Purchasing Power Parity (PPP) has evolved and PPP has become the most popular concept in international finance. PPP is applied with various price indices such as consumer price index, wholesale price index, etc. In this article, we introduce a revised version of PPP equation for financial products, which is strongly ...
Dinçer Afat, Michael Frömmel
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A test of long-run purchasing power parity

Economics Letters, 2001
There is a continuing debate whether purchasing power parity holds as a long-run equilibrium relationship. This note applies an exact small-sample, pointwise most powerful invariant unit root test to annual, long-horizon real exchange rates. This test finds clear and consistent evidence in favor of the true purchasing power parity relationship.
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