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Real Exchange Rates and Relative Prices: An Empirical Investigation / Charles Engel.

NBER Working papers Available online

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Format:
Book
Author/Creator:
Engel, Charles.
Contributor:
National Bureau of Economic Research.
Series:
Working Paper Series (National Bureau of Economic Research) no. w4231.
NBER working paper series no. w4231
Language:
English
Physical Description:
1 online resource: illustrations (black and white);
Other Title:
Real Exchange Rates and Relative Prices
Place of Publication:
Cambridge, Mass. National Bureau of Economic Research 1992.
Summary:
This paper uncovers a striking empirical regularity: the consumer price of a good relative to a different good within a country tends to be much less variable than the price of that good relative to a similar good in another country. This fact seems to hold for all goods except very simple, homogeneous products. Models of real exchange rates are likely to have predictions regarding this relation, so this fact may provide a useful gauge for discriminating among models.
Notes:
Print version record
December 1992.

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