IMF Staff Papers, Volume 50, No. 3

Author/Editor:

Robert P Flood

Publication Date:

November 25, 2003

Electronic Access:

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Summary:

This paper analyzes the issue of purchasing power parity using real effective exchange rate (REER) data for 20 industrial countries in the post-Bretton Woods period. The serial correlation-robust median-unbiased estimator yields a cross-country average of half-lives of deviations from parity of about eight years, with the REER of several countries displaying permanent deviations from parity. The paper analyzes integration of Africa into world trade. The high-yield spread as a predictor of real economic activity is also examined.

Series:

IMF Staff Papers, Volume 50, No. 3

Subject:

English

Publication Date:

November 25, 2003

ISBN/ISSN:

9781589062030/1020-7635

Stock No:

SPIEA0032003

Price:

$25.00 (Academic Rate:$25.00)

Format:

Paper

Pages:

204

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