R/S analysis of foreign exchange rates under two international monetary regimes

G. Geoffrey Booth, Fred R. Kaen, Peter E. Koveos

Research output: Contribution to journalArticlepeer-review

98 Scopus citations

Abstract

The purpose of this study is to examine empirically the behavior of foreign exchange markets during the most recent experiences with fixed and flexible rates. Specifically, this study explores the possibility that long-term dependence is present in the exchange rate series for the British pound, French franc, and German mark in terms of the U.S. dollar. Using R/S analysis, positive long-term dependence is uncovered for each exchange rate during the flexible regime but negative dependence is found in the fixed period.

Original languageEnglish (US)
Pages (from-to)407-415
Number of pages9
JournalJournal of Monetary Economics
Volume10
Issue number3
DOIs
StatePublished - 1982

ASJC Scopus subject areas

  • Finance
  • Economics and Econometrics

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