This paper reviews the literature on exchange rate economics over the last two decades,
with particular reference to recent developments. Exchange rate economics has been one of …

Publisher Summary This chapter presents a critical survey and an interpretation of recent
exchange rate research. It focuses on empirical results for exchange rates among major …

The central claim in this paper is that by explicitly introducing costs of international trade
(narrowly, transport costs, but more broadly, tariffs, nontariff barriers, and other trade costs) …

We develop a novel system of reclassifying historical exchange rate regimes. One key
difference between our study and previous classifications is that we employ monthly data on …

The vast empirical exchange rate literature finds the effect of exchange rate volatility on real
activity to be small or insignificant. In contrast, this paper offers empirical evidence that real …

Much has been written by historians and sociologists as well as business commentators
about the modern economy—the kind that supplanted the traditional economy in several …

Originally propounded by the sixteenth-century scholars of the University of Salamanca, the
concept of purchasing power parity (PPP) was revived in the interwar period in the context of …

This paper presents an exchange rate model of a new kind. Instead of relying exclusively on
macroeconomic determinants, the model includes a determinant from the field of …

Exchange market mayhem The antecedents and aftermath of speculative attacks This paper
evaluates the causes and consequences of episodes of turbulence in foreign exchange …

To investigate how a fixed exchange rate affects monetary policy, this paper classifies
countries as pegged or nonpegged and examines whether a pegged country must follow the …