Equilibrium exchange rates in transition economies: Taking stock of the issues

Journal of Economic Surveys

Volumn 20, Issue 2, 2006, Pages 257-324

  Égert, Balázs ^a,b,c   Halpern, László ^c,d   MacDonald, Ronald ^e,f  

^a OESTERREICHISCHE NATIONALBANK   (Austria)

^b UNIVERSITÉ PARIS OUEST NANTERRE LA DÉFENSE   (France)

^c UNIVERSITY OF MICHIGAN   (United States)

^d CENTRAL EUROPEAN UNIVERSITY   (Hungary)

^e UNIVERSITY OF GLASGOW   (United Kingdom)

^f CESIFO   (Germany)

Author keywords

Balassa Samuelson effect; Behavioural Equilibrium Exchange Rate; CHEER; Equilibrium exchange rate; Euro; Fundamental Equilibrium Exchange Rate; Inflation differential; NATREX; Permanent Equilibrium Exchange Rate; Productivity; Purchasing Power Parity; Regulated prices; Tradable prices; Transitional economies; Trend appreciation

Indexed keywords

EXCHANGE RATE;

EID: 33645377942     PISSN: 09500804     EISSN: 14676419     Source Type: Journal    
DOI: 10.1111/j.0950-0804.2006.00281.x     Document Type: Article

References (169)

1. Alberola, E. (2003). Real convergence, external disequilibria and equilibrium exchange rates in EU acceding countries. Mimeo, Banco de España.
2. Alberola, E. and Tyrväinen, T. (1998). Is there scope for inflation differentials in EMU?Working Paper No. 9823, Banco de España.
3. Alonso-Gamo, P., Fabrizio, S., Kramarenko, V. and Wang, Q. (2002). Lithuania: History and future of the currency board arrangement. IMF Working Paper No. 127.
4. Artus, J. (1978). Methods of assessing the long-run equilibrium value of an exchange rate. Journal of International Economics 8: 277-299.
5. Avallone, N. and Lahrèche-Révil, A. (1999). Le taux de change réel d'équilibre dans les pays en transition: Le cas de la Hongrie. TEAM, University of Paris I - Sorbonne, Cahiers blancs no. 91.
6. Backé, P., Fidrmuc, J., Reininger, T. and Schardax, F. (2003). Price dynamics in central and eastern European EU accession countries. Emerging Markets Finance and Trade 39 (3): 42-78.
7. Baffes, J., Elbadawi, I. A. and O'Connell, S. A. (1999). Single equation of the equilibrium real exchange rate. In: L. Hinkle and P. Montiel (eds), Estimating Equilibrium Exchange Rates in Developing Countries. Washington D.C.: World Bank.
8. Balassa, B. (1964). The purchasing-power-parity doctrine: A reappraisal. Journal of Political Economy 72 (6): 584-596.
9. Barrell, R. and Wren-Lewis, S. (1989). Fundamental equilibrium exchange rates for the G7. CEPR Discussion Paper. 323.
10. Baumol, W. J. (1996). Children of performing arts, the economic dilemma: the climbing costs of health care and education. Journal of Cultural Economics 20: 183-206.
11. Baumol, W. J. and Bowen, W. G. (1965). On the performing arts: The anatomy of their economic problems. American Economic Review 55 (1/2): 495-502.
12. Baumol, W. J. and Bowen, W. G. (1966). Performing Arts: The Economic Dilemma. New York: Twentieth Century Fund.
13. Bayoumi, T., Clark, P., Symansky, S. and Taylor, M. (1994). The robustness of equilibrium exchange rate calculations of alternative assumptions and methodologies. In: J. Williamson (ed.), Estimating Equilibrium Exchange Rates. Washington D.C.: Institute for International Economics, pp. 19-60.
14. Begg, D., Halpern, L. and Wyplosz, C. (1999). Monetary and exchange rate policies, EMU and Central and Eastern Europe. Forum Report on the Economic Policy Initiative 5. London: CEPR and New York, Prague: EastWest Institute.
15. Beguna, A. (2002). Competitiveness and the equilibrium exchange rate in Latvia. EuroFaculty Working Paper in Economics 16, August, Riga: University of Latvia and EuroFaculty.
16. Benigno, G. and Thoenissen, C. (2003). Equilibrium exchange rates and capital and supply side performance. Economic Journal 113 (486): 103-124.
17. Bergstrand, J. H. (1991). Structural determinants of real exchange rates and national price levels: Some empirical evidence. American Economic Review 81 (1): 325-334.
18. Bhagwati, J. (1984). Why are services cheaper in poor countries? Economic Journal 94 (374): 279-286
19. Bitans, M. (2002). Real exchange rate in Latvia: 1994-;2001. Bank of Latvia Working Paper.
20. Bitans, M. and Tillers, I. (2003). Estimates of equilibrium exchange rate in Latvia. Mimeo, Bank of Latvia.
21. Boskin, M. J., Dulberger, E. R., Gordon, R. J., Griliches, Z. and Jorgenson, D. W. (1996). Toward a more accurate measure of the cost of living. Final Report to the U.S. Senate Finance Committee from the Advisory Commission to study the Consumer Price Index.
22. Braumann, B. (1998). Republic of Slovakia: Recent economic developments. IMF Staff Country Report No. 60. 35-47.
23. Bruno, M. (1993). Crisis, Stabilization, and Economic Reform-Therapy by Consensus. Oxford: Clarendon Press.
24. Buliř A. and Šmidkova, K. (2005). Exchange rates in the new EU accession countries: What have we learned from the forerunners? Economic Systems 29 (2): 163-186.
25. Buiter, W. H. and Grafe, C. (2002). Anchor, float or abandon ship: exchange rate regimes for accession countries. CEPR Discussion Paper No. 3184.
26. Burgess, R., Fabrizio, S. and Xiao, Y. (2003). Competitiveness in the Baltics in the run-up to EU accession. IMF Country Report No. 114.
27. Bussière. M., Fratzscher, M. and Müller, G. J. (2004). Current account dynamics in OECD and EU acceding countries - an intertemporal approach. ECB Working Paper No. 311.
28. Campos, N. and Coricelli, F. (2002). Growth in transition: What we know, what we don't and what we should. Journal of Economic Literature 40 (3): 793-836.
29. Canzoneri, M. B., Cumby, R. E. and Diba, B. (1999). Relative labour productivity and the real exchange rate in the long-run: Evidence for a panel of OECD countries. Journal of International Economics 47: 245-266.
30. Cassel, G. (1916a). The present situation of the foreign exchanges. Economic Journal 26 (101): 62-65.
31. Cassel, G. (1916b). The present situation of the foreign exchanges. Economic Journal 26 (103): 219-323.
32. Cassel, G. (1918). Abnormal deviations in international exchanges. Economic Journal 28 (112): 413-415.
33. Chen, S-S. and Engel, C. (2004). Does aggregation bias explain the PPP puzzle? NBER Working Paper No. 10304.
34. Čihák, M. and Holub, T. (2001). Convergence of relative prices and inflation in Central and Eastern Europe. IMF Working Paper No. 124.
35. Čihák, M. and Holub, T. (2003). Price convergence to the EU: What do the 1999 ICP data tell us? Czech National Bank Working Paper Series No. 2.
36. Cincibuch, M. and Podpiera, J. (2004). Beyond Balassa-Samuelson: Real appreciation in tradables in transition economies. CERGE-EI Research Report. http://www.cergeei.cz/pdf/gdn/RRCIII_41_paper_01.pdf
37. Clarida, R. and Gali, J. (1994). Sources of real exchange rate fluctuations: How important are nominal shocks? Carnegie-Rochester Series on Public Policy 41: 1-56.
38. Clark, P. and MacDonald, R. (1999). Exchange rates and economic fundamentals: A methodological comparison of BEERs and FEERs. In: R. MacDonald and J. Stein (eds), Equilibrium Exchange Rates. Amsterdam: Kluwer, pp. 285-322.
39. Clark, P. and MacDonald, R. (2000). Filtering the BEER - a permanent and transitory decomposition. IMF Working Paper No. 144.
40. Coricelli, F. and Jazbec, B. (2004). Real exchange rate dynamics in transition economies. Structural Change and Economic Dynamics 15: 83-100.
41. Corsetti, G. and Dedola, L. (2004). Macroeconomics of international price discrimination. Mimeo, European University Institute.
42. Coudert, V. (1999). Comment définir un taux de change d'équilibre pour les pays émergents? Economie Internationale 77: 1er trimestre, 45-65.
43. Coudert, V. and Couharde, C. (2003). Exchange rate regimes and sustainable parities for CEECs in the run-up to EMU membership. Revue Economique 54 (5): 983-1012.
44. Crespo-Cuaresma, J., Fidrmuc, J. and MacDonald, R. (2005). The monetary approach to exchange rates in the CEECs. Economics of Transition 13 (2): 395-416.
45. Csajbók, A. (2003). The equilibrium real exchange rate in Hungary: Results from alternative approaches. Paper presented at the 2nd Workshop on Macroecomic Policy Research. National Bank of Hungary. October 2-3.
46. Csajbók, A. and Kovács, M. A. (2002). FEER enough? Mimeo, National Bank of Hungary.
47. Cumby, R. and Huizinga, J. (1990). The predictability of real exchange rate changes in the short run and in the long run. Japan and the World Economy 3: 17-38.
48. Darvas, Z. (2001). Exchange rate pass-through and real exchange rate in EU candidate countries. Economic Research Centre of the Deutsche Bundesbank Discussion Paper No. 10.
49. De Broeck, M. and Sløk, T. (2001). Interpreting real exchange rate movements in transition countries. IMF Working Paper No. 56.
50. Detken, C., Dieppe, A., Henry, J., Marin, C. and Smets, F. (2002). Model uncertainty and the equilibrium value of the real effective euro exchange rate. ECB Working Paper No. 160.
51. Dixit, A. K. and Stiglitz, J. (1977). Monopolistic competition and optimum product diversity. American Economic Review 67 (3): 297-308.
52. Djankov, S. and Murrell, P. (2002). Enterprise restructuring in transition: A quantitative survey. Journal of Economic Literature 40 (3): 739-792.
53. Dobrinsky, R. (2003). Convergence in per capita income levels, productivity dynamics and real exchange rates in the EU acceding countries. Empirica. 30 (3): 305-334.
54. Doisy M. and Hervé, A. (2003). Les déficits courants des PECO: Quelles implications pour leur entrée dans l'Union européenne et la zone euro?Economie Internationale 93: 1er trimestre, 59-88.
55. Driver, R. and Wren-Lewis, S. (1999). FEERS: A sensitivity analysis. In: R. MacDonald and J. Stein (eds), Equilibrium Exchange Rates. Amsterdam: Kluwer, pp. 135-162.
56. Driver, R. L. and Westaway, P. F. (2005). Concepts of equilibrium real exchange rates. Bank of England Working Paper No. 248.
57. Durlauf, S., Johnson, P. and Temple, J. (2005). Growth econometrics. In P. Aghion and S. Durlauf (eds), Handbook of Economic Growth. Amsterdam: North Holland, pp. 555-677.
58. EBRD. (2003). Transition Report 2003.
59. Égert, B. (2002). Investigating the Balassa-Samuelson hypothesis in the transition: Do we understand what we see? A panel study. Economics of Transition 10 (2): 273-309.
60. Égert, B. (2005a). The Balassa-Samuelson hypothesis in estonia: oil shale, tradable goods, regulated prices and other culprits. The World Economy 28 (2): 259-286.
61. Égert, B. (2005b). Equilibrium exchange rates in south-eastern Europe, Russia, Ukraine and Turkey: Healthy or (Dutch)diseased?Economic Systems 29 (2): 205-241.
62. Égert, B. and Lahrèche-Révil, A. (2003). Estimating the equilibrium exchange rate of the central and eastern european acceding countries: The challenge of euro adoption. Weltwirtschaftliches Archiv 139 (4): 683-708.
63. Égert, B. and Lommatzsch, K. (2003). Equilibrium exchange rates in acceding countries: How large is our confidence (interval)?Oesterreichische Nationalbank. Focus on Transition 2: 107-37.
64. Égert, B. and Halpern, L. (2005). Equilibrium exchange rates in central and Eastern Europe: A meta-regression analysis. CEPR Discussion Paper 4869 and Journal of Banking and Finance (forthcoming).
65. Égert, B., LahrècheRévil, A. and Lommatzsch, K. (2004). The stock-flow approach to the real exchange rate of transition economies, CEPII Working Paper No. 14.
66. Égert, B., Drine, I., Lommatzsch, K. and Rault, C. (2003). The Balassa-Samuelson effect in central and eastern Europe: Myth or reality?Journal of Comparative Economics 31 (3): 552-572.
67. Engel, C. (1993). Exchange rates and relative prices: An empirical investigation. Journal of Monetary Economics 32 (1): 32-50.
68. Engel, C. (1999). Accounting for US real exchange rate changes. Journal of Political Economy. 107 (3): 507-538.
69. European Central Bank. (2002). Economic fundamentals and the exchange rate of the euro, monthly bulletin. January. 41-53.
70. Faruqee, H. (1995). Long-run determinants of the real exchange rate: A stock-flow perspective. IMF Staff Papers 42 (1): 80-107.
71. Filer, R. K. and Hanousek, J. (2000) Output changes and inflationary bias in transition. Economic Systems 24 (3): 285-294.
72. Filipozzi, F. (2000) Equilibrium exchange rate of the Estonian kroon, its dynamics and its impacts of deviations. Bank of Estonia Working Paper No. 3.
73. Fischer, C. (2004) Real currency appreciation in accession countries: Balassa-Samuelson and investment demand. Weltwirtschaftliches Archiv 140 (2): 179-210.
74. Flek, V., Marková, L. and Podpiera, J. (2002). Sectoral productivity and real exchange rate appreciation: Much ado about nothing? Czech National Bank Working Paper Series No. 4.
75. Frait, J. and Komárek, L. (1999) Dlouhodobý rovnovážný re álný menový kurz koruny a jeho determinanty. Czech National Bank Monetary Policy Division Working Paper No. 9.
76. Froot, K. A. and Rogoff, K. (1994). Perspectives on PPP and long-run real exchange rates. NBER Working Paper No. 4952.
77. Froot, K. A., Kim, M. and Rogoff, K. (1995). The law of one price over 700 years. NBER Working Paper No. 5132.
78. Genorio, H. and Kozamernik, D. (2004). FEER estimates-the slovenian case. Bank of Slovenia. Prikazi in analize 12 (1). Bank of Slovenia.
79. Goldstein, M. and Khan, M. S. (1985). Income and price effects in foreign trade Chapter 20]. In: R. W. Jones and P. B. Kenen, (eds), Handbook of International Economics. Vol. 2. Amsterdam: Elsevier, pp. 1041-1105.
80. Golinelli, R. and Orsi, R. (2002). Modelling inflation in EU accession countries: The case of the Czech Republic, Hungary and Poland. In: W. W. Charemza and K. Strzala (eds), East European Transition and EU Enlargement: A Quantitative Approach. Berlin: Springer Verlag, pp. 267-290.
81. Gonzalo, J. and Granger, C. W. J. (1995). Estimation of common long-memory components in cointegrated systems. Journal of Business & Economic Statistics 13 (1): 27-36.
82. Gordon, R. J. (2000). The Boskin Commission Report and its aftermath. NBER Working Paper No. 7759.
83. Gylfason, T. (2002). Natural resources and economic growth: What is the connection?Working Paper, University of Iceland.
84. Halpern, L. and Wyplosz, C. (1997). Equilibrium exchange rates in transition countries. IMF Staff Papers 44 (4): 430-461.
85. Halpern, L. and Wyplosz, C. (2001). Economic transformation and real exchange rates in the 2000s: The Balassa-Samuelson connection. UNO Economic Survey of Europe. 227-239.
86. Hanousek, J. and Filer, R. K. (2001a). Consumers' opinion of inflation bias due to quality improvements in transition in the czech republic. CERGE-EI Working Paper 184.
87. Hanousek, J. and Filer, R. K. (2001b). Evaluating imperfections and biases in price indexes during transition. CERGE-EI Working Paper No. 186.
88. Haskel, J. and Wolf, H. (2001). The law of one price: A case study. Scandinavian Journal of Economics 103 (4): 545-558.
89. Hinnosar, M., Juks, R., Kaadu, H. and Uusküla, L. (2003). Estimating the equilibrium exchange rate of the Estonian kroon. Mimeo, Bank of Estonia.
90. Huizinga, J. (1987). An empirical investigation of the long-run behaviour of real exchange rates. Carnegie-Rochester Series on Public Policy 27: 149-214.
91. Imbs, J., Mumtaz, H., Ravn, M. O. and Rey, H. (2002). PPP strikes back: aggregation and the real exchange rate. NBER Working Paper No. 9372.
92. Isard, P., Faruquee, H., Kincaid, G. R. and Fetherston, M. (2001). Methodology for current account and exchange rate assessments. IMF Occasional Papers No. 209.
93. Jazbec, B. (2002). Balassa-;Samuelson effect in transition economies: The case of Slovenia. William Davidson Working Paper No. 507.
94. Johansen, S. and Juselius, K. (1992). Testing structural hypothesis in a multivariate cointegration analysis of the PPP and the UIP for the UK. Journal of Econometrics 53: 211-244.
95. Juselius, K. (1991). Long-run relations in a well defined statistical model for the data generating process: Cointegration analysis of the PPP and UIP relations between Denmark and Germany. In: J. Gruber (ed), Econometric Decision Models: New Methods of Modeling and Applications. New York, NY: Springer Verlag.
96. Juselius, K. (1995). Do purchasing power parity and uncovered interest rate parity hold in the long run?An example of likelihood inference in a multivariate time-series model. Journal of Econometrics 69 (1): 211-240.
97. Juselius, K. and MacDonald, R. (2000). International parity relationships between Germany and the United States. Unpublished report, European University Institute.
98. Kao, C. (1999). Spurious regression and residual-based tests for cointegration in panel data. Journal of Econometrics 90 (1): 1-44.
99. Karádi, P. (2003). Structural and single equation estimation of the NATREX equilibrium real exchange rate of the Hungarian forint. Mimeo, National Bank of Hungary.
100. Kazaks, M. 2000 Real exchange rate appreciation and loss of competitiveness. The case of Latvia. Presented at the Second Seminar of Managing Economic Transition in Eastern Europe. May 24, 2000. University College London. School of Slavonic and East European Studies.
101. Kazaks, M. (2005). Essays on the dynamics of the exchange rate of the Latvian Lats. PhD Thesis, Queen Mary, University of London.
102. Kim, B. Y. and Korhonen, I. (2005). Equilibrium exchange rates in transition countries: Evidence from dynamic heterogeneous panel models. Economic Systems 29 (2): 144-162.
103. Kornai, J., Maskin, E. and Roland, G. (2003). Understanding the soft budget constraint. Journal of Economic Literature 41 (4): 1095-1136.
104. Kovács, M. A. (ed). (2002). On the estimated size of the Balassa-Samuelson effect in five central and eastern european countries. National Bank of Hungary Working Paper No. 5.
105. Kovács, M. A. (2001). The equilibrium exchange rate in Hungary. National Bank of Hungary Background Study 3, Budapest.
106. Kovács, M. A. (2003). How Real is the fear?Investigating the Balassa-Samuelson effect in CEC5 countries in the prospect of EMU enlargement. Presented at 'monetary strategies for accession countries', Budapest. 27-28 February.
107. Kovács, M. A. and Simon, A. (1998). Components of the real exchange rate in Hungary. National Bank of Hungary Working Paper No. 3.
108. Kozamernik, D. (2003). Long-run growth and price convergence: implications of a two-sector neoclassical growth model and application to the Slovenian case. Prikazi in analize 11(2), Bank of Slovenia
109. Krajnyák, K. and Zettelmeyer, J. (1998). Competitiveness in transition economies: What scope for real appreciation?IMF Staff Papers 45: 309-362.
110. Kronenberg, T., (2004). The curse of natural resources in the transition economies. Economics of Transition 12 (3): 399-426.
111. Kutan, A. M. and Wyzan, M. L. (2005). Explaining the real exchange rate in Kazakhstan, 1996-2003: Is Kazakhstan vulnerable to the dutch disease?Economic Systems 29 (2): Pp. 242-255.
112. Lee, J. and Tang, M. K. (2003). Does productivity growth lead to appreciation of the real exchange rate?IMF Working Paper 154.
113. Lojschova, A. (2003). Estimating the impact of the Balassa-Samuelson effect in transition economies. Institute for Advanced Studies Working Paper No. 140.
114. Lommatzsch, K. and Tober, S. (2004). What is behind the real appreciation of the accession countries' currencies? An investigation of the PPI-based real exchange rate. Economic Systems 28 (4): 383-403.
115. Lommatzsch, K. and Tober, S. (2003). The inflation target of the ECB: Does the Balassa Samuelson effect matter? Mimeo, DIW-Berlin.
116. MacDonald R. and Swagel, P. (2000). Business cycle influences on exchange rates: Survey and evidence, World Economic Outlook Supporting Studies. IMF.
117. MacDonald, R. (1995). Long-run exchange rate modeling: A survey of the recent literature. IMF Staff Papers 42 (3): 437-489.
118. MacDonald, R. (1998a). What determines real exchange rates? The long and short of it. Journal of International Financial Markets, Institutions and Money 8(2): 117-153.
119. MacDonald, R. (1998b). What do we really know about real exchange rates? Oesterreichische Nationalbank Working Paper No. 28.
120. MacDonald, R. (2005). Exchange rate economics: Theories and evidence. Taylor and Francis (Forthcoming).
121. MacDonald, R. and Wójcik, C. (2004). Catching up: The role of demand, supply and regulated price effects on the real exchange rates of four accession countries. Economics of Transition 12(1): 153-179.
122. MacDonald, R. and Marsh, I. W. (1997). On fundamentals and exchange rates: A Casselian perspective. Review of Economics and Statistics 79(4): 655-664.
123. MacDonald, R. and Marsh, I.W. (1999). Exchange Rate Modelling. Amsterdam: Kluwer.
124. MacDonald, R. and Ricci, L. (2001). PPP and the Balassa-Samuelson effect: The role of the distribution sector. IMF Working Paper No. 38.
125. MacDonald, R. and Ricci, L. (2002). Purchasing power parity and new trade theory. IMF Paper No. 32.
126. Maeso-Fernandez, F., Osbat, C. and Schnatz, B. (2004). Towards the estimation of equilibrium exchange rates for CEE acceding countries: methodological issues and a panel cointegration perspective. European Central Bank Working Paper No. 353.
127. Maeso-Fernandez, F., Osbat, C. and Schnatz, B. (2005a). Pitfalls in estimating equilibrium exchange rates for transition economies. Economic Systems 29(2): 130-143.
128. Maeso-Fernandez, F., Osbat, C. and Schnatz, B. (2005b). Estimating equilibrium exchange rates for new EU member states: Overcoming econometric pitfalls using panel cointegration. Mimeo.
129. Maurin, L. (2001). Fundamental determinants of RER for transition countries. In: M. H. Stierle and T. Birringer (eds), Economics of Transition: Theory, Experiences and EU Enlargement. Berlin: Verlag für Wissenschaft und Forschung, pp. 427-442.
130. Mihaljek, D. and Klau, M. (2004). The Balassa-Samuelson effect in central Europe: A disaggregated analysis. Comparative Economic Studies 46(1): 63-94.
131. Monacelli, T. (2004). Into the Mussa Puzzle: Monetary policy regimes and the real exchange rate in a small open economy. Journal of International Economics 62: 191-217.
132. Mussa, M. (1986). Nominal Exchange Rate Regimes and the Behavior of Real Exchange Rates: Evidence and Implications. Carnegie-Rochester Conference Series on public Policy, 25: 117-214.
133. Nenovsky, N. and Dimitrova, K., (2002), Dual inflation under the currency board: The challenges of Bulgarian EU accession. William Davidson Working Paper No. 487.
134. Nurkse, R. (1945). Conditions of International Monetary Equilibrium. Essays in International Finance. Princeton: International Finance Section. Princeton University. Republished in the Theory of International Trade. Philadelphia: Blackiston. 1949, pp. 3-34.
135. Obstfeld, M. and Rogoff, K. (2001). Perspectives on OECD economic integration: Implications for US current account adjustment. Paper presented at the Jackson Hole Conference, Federal Reserve Bank of Kansas.
136. Oomes, N. (2005). Maintaining competitiveness under equilibrium real appreciation: The case of Slovakia. Economic Systems 29(2): 187-204.
137. Ostry, J. and Reinhart, C. (1992). Private saving and terms of trade shocks. IMF Staff Papers 39: 495-517.
138. Papyrakis, E. and Gerlagh, R. (2004). The resource curse hypothesis and its transmission channels. Journal of Comparative Economics 32(1): 181-193.
139. Pedroni, P. (1999). Critical values for cointegration tests in heterogeneous panels with multiple regressors. Oxford Bulletin of Economics and Statistics 61 (Supplement 1):653-670.
140. Rahn, J. (2003). Bilateral equilibrium exchange rates of the EU accession countries against the euro. BOFIT Discussion Paper No. 11.
141. Randveer, M. and Rell, M. (2002). The relationship between competitiveness and real exchange rate in Estonia. Bank of Estonia Research Paper.
142. Rautava, J. (2004). The role of oil prices and the real exchange rate in Russia's economy: A cointegration approach. Journal of Comparative Economics 32: 315-327.
143. Rawdanowicz, L. W. (2003). Poland's accession to EMU: Choosing the exchange rate parity. CASE studies and analyses 247. December 2002, [Forthcoming]. In: L. V. De Souza and B. Van Aarle (eds), The Euro Area and the New EU Member States. New York: Palgrave Macmillan.
144. Rawdanowicz, Ł. W. (2004). Panel Estimations of PPP and Relative Price Models for CEECs: Lessons for Real Exchange Rate Modelling. CASE Studies and Analyses No. 276.
145. Rogoff, K. (1996). The purchasing power parity puzzle. Journal of Economic Literature 34(2): 647-668.
146. Rosati, D. (1994). Output decline during transition. Economics of Transition. 2(4): 419-441.
147. Rosati, D. (1996). Exchange rate policies during transition from plan to market. Economics of Transition 4(1): 159-186.
148. Rosati, D. K. (2002). The Balassa-Samuelson effect in the EU candidate countries. In: Roger, G. and A. Inotai (eds), Trade, Integration and Transition. Budapest: The World Bank and Institute for World Economics. Hungarian Academy of Sciences. pp. 58-77.
149. Rother, C. P. (2000). The impact of productivity differentials on inflation and the real exchange rate: An estimation of the Balassa-Samuelson effect in Slovenia. IMF Country Report. Republic of Slovenia: Selected Issues 56. April. 26-39.
150. Rubaszek, M. (2003). The optimal ERM II central parity for the polish zloty. Mimeo, National Bank of Poland.
151. Saal, D. and Parker, D. (2001). Productivity and price performance in the privatised water and sewerage companies of England and Wales. Journal of Regulatory Economics 20(1): 61-90.
152. Sachs, J. and Warner, A. (1995). Natural resource abundance and economic growth. NBER Working Paper No. 5398.
153. Samuelson, P. (1964). Theoretical notes on trade problems. Review of Economics and Statistics 46(2): 145-154.
154. Sinn, H. W. and Reutter, M. (2001). The minimum inflation rate for euroland. NBER Working Paper No. 8085.
155. Šmídková, K., Barrell, R. and Holland, D. (2003). Estimates of fundamental real exchange rates for the five EU pre-accession countries. Prague Economic Papers 12(4): 291-316.
156. Sosunov, K. and Zamulin, O. (2004). What stands behind the real appreciation of the Russian Rouble in 1998-2003? Paper presented at the BOFIT Workshop. Helsinki. April 2-3
157. Spilimbergo, A. (1999). Copper and the Chilean economy: 1960-98. IMF Working Paper No. 57.
158. Spatafora, N. and Stavrev, E. (2003). The equilibrium real exchange rate in a commodity exporting country: The case of russia. IMF Working Paper No. 93.
159. Stein, J. L. (1994). The natural real exchange rate of the US dollar and determinants of capital flows. In: J. Williamson (ed), Estimating Equilibrium Exchange Rates. Washington, DC: Institute for International Economics, pp. 133-176.
160. Stein, J. L. (1995). The fundamental determinants of the real exchange rate of the U.S. dollar relative to other G-7 countries. IMF Working Paper No. 81.
161. Stein, J. L. (2002). The equilibrium real exchange rate of the euro: An evaluation of research. CESifo Economic Studies. (Zeitschrift für empirische Wirtschaftsforschung) 43(3):349-381.
162. Szapaáry, G. (2003). Les critères de Maastricht sont-ils trop sé vères? (Is Maastricht too tough?), Revue d'Economie Financiére 71: 225-244.
163. Vetlov, I. (2002). Analysis of the real exchange rate and competitiveness in Lithuania. Bank of Estonia Research Paper.
164. Világi, B. (2004). Dual inflation and real exchange rate in new open economy macroeconomics. National Bank of Hungary Working Paper No. 5.
165. Wagner, M. and Hlouskova, J. (2004). What is really the story with this Balassa-Samuelson effect in the CEECs. Mimeo, University of Bern.
166. Williamson, J. (1994). Estimates of FEERs. In: J. Williamson, (ed), Estimating Equilibrium Exchange Rates. Washington D.C.: Institute for International Economics, pp. 177-244.
167. Wren-Lewis, S. (1992). On the analytical foundations of the fundamental equilibrium exchange rate. In: C. P. Hargreaves (ed), Macroeconomic Modelling of the Long Run. Cheltenham, UK: Edward Elgar.
168. Zavoico, B. (1995). A brief note on the inflationary process in transition economies. Mimeo, IMF.
169. Žumer, T. (2002). Estimation of the Balassa-Samuelson effect in Slovenia. Prikazi in analize X/1. September, Bank of Slovenia.