New Study Reveals Surprising Causes Behind Dollar Exchange Rate Fluctuations
The article investigates the reasons behind fluctuations in some dollar real exchange rates. The researchers used a two-country overshooting model to analyze the variables and conducted tests for unit roots and cointegration. They also applied a factor model for forecasting and presented their results. The study found that real exchange rate movements can be influenced by various factors, and the analysis provided insights into the dynamics of these fluctuations.