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Investigation of the nonlinear behaviour in real exchange rates in developing regions
Linnéuniversitetet, Ekonomihögskolan (FEH), Institutionen för nationalekonomi och statistik (NS).
Jönköping University, Sweden.
Jönköping University, Sweden.ORCID-id: 0000-0003-3144-2218
2018 (engelsk)Inngår i: Applied Economics Letters, ISSN 1350-4851, E-ISSN 1466-4291, Vol. 25, nr 5, s. 335-339Artikkel i tidsskrift (Fagfellevurdert) Published
Abstract [en]

This article examines whether the purchasing power parity (PPP) theory holds or not for the economies in different developing regions located in Africa, Asia and Latin America. In order to investigate this issue, a nonlinear panel unit root test is used to determine if some or all of the real exchange rates in a panel follow a stationary exponential smooth transition autoregressive process. By applying the nonlinear panel unit root test, our results demonstrate an empirical support for the theory of PPP for the economies in developing regions.

sted, utgiver, år, opplag, sider
Taylor & Francis, 2018. Vol. 25, nr 5, s. 335-339
Emneord [en]
Purchasing power parity, ESTAR, Panel data, Developing regions
HSV kategori
Forskningsprogram
Ekonomi, Nationalekonomi
Identifikatorer
URN: urn:nbn:se:lnu:diva-62776DOI: 10.1080/13504851.2017.1321830ISI: 000429626300010Scopus ID: 2-s2.0-85018357773OAI: oai:DiVA.org:lnu-62776DiVA, id: diva2:1092371
Tilgjengelig fra: 2017-05-02 Laget: 2017-05-02 Sist oppdatert: 2019-12-06bibliografisk kontrollert

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