Price stickiness, inflation, and persistence in real exchange rate fluctuations: Cross-country results
Economics Letters , Volume 71 - Issue 2 p. 247- 253
Models that emphasize sticky prices to explain persistent real exchange rate fluctuations predict that such fluctuations should be less persistent in high inflation countries relative to low inflation countries. Cross-country regression results, in general, do not support this implication.
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Khan, H.U. (2001). Price stickiness, inflation, and persistence in real exchange rate fluctuations: Cross-country results. Economics Letters, 71(2), 247–253. doi:10.1016/S0165-1765(01)00370-6