Imperfect Information and The Comovement of The Exchange Rate and Interest Rate : A Signal Extraction Approach  

Oleh:

Takagi, Shinji

Jenis: Article from Bulletin/Magazine
Dalam koleksi: INTERNATIONAL ECONOMIC REVIEW vol. 32 no. 4 (1991), page 1023-1035.
Topik: interest rate; information; exchange rate; interest rate; signal extraction

Ketersediaan

Perpustakaan Pusat (Semanggi) Nomor Panggil: II49.1 Non-tandon: 1 (dapat dipinjam: 0) Tandon: tidak ada

Lihat Detail Induk

Isi artikel

This paper analyzes the joint determination of the exchange rate and the interest rate in a signal extraction framework. In principle, a given disturbance should generate a systematic relationship between the exchange rate and the interest rate, as two endogenous variables, in the context of any specified economic model. When expectations matter, however, the introduction of imperfect information would weaken the comovement between the two endogenous variables that results from a given disturbance. This simple point is demonstrated in a flexible - price model of a small economy.

Opini Anda

Klik untuk menuliskan opini Anda tentang koleksi ini!

Kembali