Home bias and purchasing power parity: Evidence from the G-7 countries

dc.contributor.authorΜυλωνίδης, Νικόλαοςel
dc.contributor.authorSideris, D.en
dc.date.accessioned2015-11-24T17:04:31Z
dc.date.available2015-11-24T17:04:31Z
dc.identifier.issn1076-9307-
dc.identifier.urihttps://olympias.lib.uoi.gr/jspui/handle/123456789/11188
dc.rightsDefault Licence-
dc.subjectpppen
dc.subjecthome biasen
dc.subjectpanel dataen
dc.subjectreal exchange-ratesen
dc.subjectbehavioren
dc.subjectpolicyen
dc.subjecttestsen
dc.titleHome bias and purchasing power parity: Evidence from the G-7 countriesen
heal.abstractRecent studies in the international economics literature emphasize the role of home bias in explaining a number of empirical puzzles. In the present study, we test for the following hypotheses: (i) that a home bias effect, which is nevertheless failing over time as traded goods markets become more integrated and consumption preferences become more similar across developed countries, influences the relationship among nominal exchange rates, domestic and foreign prices, and (ii) that incorporation of the home bias effect in the empirical specification of PPP enhances the robustness of the theory. We perform a panel data analysis using quarterly observations for the G-7 economies in the post-Bretton Woods era. The results confirm our hypotheses. Copyright (C) 2007 John Wiley & Sons, Ltd.en
heal.accesscampus-
heal.fullTextAvailabilityTRUE-
heal.identifier.primaryDoi 10.1002/Ijfe.339-
heal.identifier.secondary<Go to ISI>://000254888900006-
heal.journalNameInternational Journal of Finance & Economicsen
heal.journalTypepeer reviewed-
heal.languageen-
heal.publicationDate2008-
heal.recordProviderΠανεπιστήμιο Ιωαννίνων. Σχολή Οικονομικών και Κοινωνικών Επιστημών. Τμήμα Οικονομικών Επιστημώνel
heal.typejournalArticle-
heal.type.elΆρθρο Περιοδικούel
heal.type.enJournal articleen

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