TESTING THE VALIDITY OF PURCHASING POWER PARITY FOR BRICS COUNTRIES USING NON-LINEAR UNIT ROOT TEST

Purchasing Power Parity Hypothesis In OIC Countries: Evidence From Panel Unit Root Tests With Heterogeneous Structural Breaks

Purchasing Power Parity during Currency Crises: A Panel Unit Root Test under Structural Breaks

In this paper the relevance of the PPP as a long-run relationship is studied using a panel of Latin American and Asian countries. We investigate the stationarity of real exchange rates by applying a new panel unit root test that is robust to structural breaks due to currency crises. It turns out that the long-run PPP relationship is relevant for the Asian countries, which experienced a flexible...

Testing the Purchasing Power Parity in Pooled

In this paper we test the purchasing power parity for the post Bretton Woods period for 18 main industrial countries. As base currencies we use alternatively the Deutsche mark, the Japanese yen, and the US dollar. We employ error correction models for single countries and on the level of pooled equations allowing eecient inference on domestic and foreign price elasticities of nominal exchange r...

purchasing power parity hypothesis in oic countries: evidence from panel unit root tests with heterogeneous structural breaks

Purchasing power parity for 15 Latin American countries: Panel SURKSS test with a Fourier function

a r t i c l e i n f o JEL classification: C23 F31 Keywords: Purchasing power parity Panel SURKSS test with a Fourier function Latin American countries This study applies Panel SURKSS test with a Fourier function to investigate the properties of long-run purchasing power parity (PPP) in fifteen Latin American countries over the period of December 1994 to February 2010. The empirical results from...