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Some notes on the behavioral equilibrium exchange rate model

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  • Zhang, Zhibai

Abstract

A regular phenomenon of the behavioral equilibrium exchange rate (BEER) model is analyzed. The result derived by the model is proved to contradict the economic fact and that by the Balassa-Samuelson model. The BEER model cannot be used, therefore, to calculate equilibrium exchange rate.

Suggested Citation

  • Zhang, Zhibai, 2011. "Some notes on the behavioral equilibrium exchange rate model," MPRA Paper 40965, University Library of Munich, Germany.
    • Handle: RePEc:pra:mprapa:40965
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    References listed on IDEAS

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    More about this item

    Keywords

    Behavioral equilibrium exchange rate; Chinese renminbi;

    JEL classification:

    • F41 - International Economics - - Macroeconomic Aspects of International Trade and Finance - - - Open Economy Macroeconomics
    • F31 - International Economics - - International Finance - - - Foreign Exchange

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