An Asian Monetary Union?

Lau, Evan and Siti Nur Zahara, Hamzah and Choong, Xin-Yi (2012) An Asian Monetary Union? Actual problems of economics (6). pp. 387-397. ISSN 1993-6788


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This study examines the validity of the long run purchasing power parity (PPP) hypothesis using a battery of both univariate and panel unit root tests for 10 Asian countries against Chinese Yuan and Japanese Yen. We found evidence against mean reverting when Yuan is used as the numeraire while stronger evidence of the parity condition with the Yen based rates based on Breuer et al. (2002, SURADF). The initiation of the Asian Monetary Union may be foreseeable with Japan as the leader, it could start off with selected countries.

Item Type: Article
Uncontrolled Keywords: real exchange rate; China; Japan; Asian 10; Asian Monetary Union, unimas, university, universiti, Borneo, Malaysia, Sarawak, Kuching, Samarahan, ipta, education, research, Universiti Malaysia Sarawak
Subjects: H Social Sciences > H Social Sciences (General)
Divisions: Academic Faculties, Institutes and Centres > Faculty of Economics and Business
Depositing User: Ab Rahim
Date Deposited: 10 Oct 2017 03:26
Last Modified: 10 Oct 2017 03:26

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