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The Behavior of Foreign Exchange Rates – Reply

Author

Listed:
  • Jorge R Calderón-Rossell

    (The World Bank Group)

  • Moshe Ben-Horim

    (The Hebrew University)

Abstract

In the preceding Comment on our JIBS paper [1], three basic claims are made:The results in [1] are contrary to those reported elsewhere. The contradiction may be due to certain weakness in the methodology employed by us.Based on a “direct approach” three currencies (out of the fourteen we analyzed) are regrouped:two (the Australian dollar, and Japanese yen) from Group III into Group I (currencies with a symmetric distribution), and one (the Italian lira) from Group III into Group II (currencies close to have a symmetric distribution except for at least 1 subperiod); andThat the arguments presented by us concerning the effects of foreign exchange management policy on exchange rates “are no longer supported by the data”.© 1986 JIBS. Journal of International Business Studies (1986) 17, 177–180

Suggested Citation

  • Jorge R Calderón-Rossell & Moshe Ben-Horim, 1986. "The Behavior of Foreign Exchange Rates – Reply," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 17(3), pages 177-180, September.
  • Handle: RePEc:pal:jintbs:v:17:y:1986:i:3:p:177-180
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