Template-Type: ReDIF-Paper 1.0
Author-Name: Juan Carlos Cuestas
Author-Name: Paulo José Regis
Title: Purchasing power parity in OECD countries: nonlinear unit root tests revisited
Abstract: The aim of this paper is to provide additional evidence on the purchasing
power parity empirical fulfillment in a pool of OECD countries. We apply
the Harvey et al. (2008) linearity test and the Kruse (2010) nonlinear unit
root test. The results point to the fact that the purchasing power parity
theory holds in a greater number of countries than has been reported in
previous studies.
File-URL: http://www.ntu.ac.uk/__data/assets/pdf_file/0016/310192/Purchasing-power-parity-in-oecd-countries.pdf
File-Format: Application/pdf
File-Function: First version, 2010
Creation-Date: 2010-04
Classification-JEL: C32, F15
Keywords: Real exchange rates, purchasing power parity, nonlinearities, unit root tests
Handle: RePEc:nbs:wpaper:2010/3