TY  - BOOK
AU  - Chinn,Menzie David
TI  - Measuring Misalignment: Purchasing Power Parity and East Asian Currencies in the 1990s 
T2  - IMF Working Papers; Working Paper
SN  - 1451854250 :
SN  - 1018-5941
PY  - 1999///
CY  - Washington, D.C.
PB  - International Monetary Fund
KW  - Cointegration
KW  - imf
KW  - Exchange Rate
KW  - Exchange Rates
KW  - Overvaluation
KW  - Purchasing Power Parity
KW  - Real Exchange Rate
KW  - Hong Kong Special Administrative Region of China
KW  - Indonesia
KW  - Philippines
KW  - Singapore
KW  - Thailand
N2  - The concept of purchasing power parity (PPP) is used to evaluate whether eight East Asian currencies were overvalued on the eve of the 1997 crises. The Johansen and Horvath-Watson cointegration test procedures are applied to bilateral and multilateral exchange rates, deflated using CPIs, producer price indices (PPIs), and price indices of export goods. The second deflator yields the greatest evidence of "stationarity." The study find's that the Malaysian, Philippines, and Thai currencies were overvalued, while the Korean and Indonesian were substantially undervalued. Mixed results were obtained for the others. Measures of the equilibrium rate based on time trends in CPI-deflated rates typically suggest larger overvaluations
UR  - http://elibrary.imf.org/view/IMF001/04584-9781451854251/04584-9781451854251/04584-9781451854251.xml
UR  - http://www.imfbookstore.org/IMFORG/9781451854251
ER  -