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| Frederick Wallace |
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| ''Nonlinear unit root tests of PPP using long-horizon data'' |
| ( 2008, Vol. 6 No.33 ) |
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| The Kapetanios, Shin, and Snell (KSS, 2003) test for a nonlinear unit root is used to study purchasing power parity using Taylor's extensive data set, d to include recent exchange rate and price level data. The results i) indicate that PPP holds with respect to the US dollar for most countries and ii) are more supportive of PPP than those from standard linear unit root tests. |
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| Keywords: |
JEL: F3 - International Finance: General
C2 - Single Equation Models; Single Variables: General |
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| Manuscript Received : Jul 17 2008 | | Manuscript Accepted : Aug 25 2008 |
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