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Book Cover
Author Kramer, Charles, 1915-1988.

Title FEERs and uncertainty : confidence intervals for the fundamental equilibrium exchange rate of the Canadian dollar / prepared by Charles Kramer
Published [Washington, D.C.] : International Monetary Fund, Western Hemisphere Dept., [1996]
Online access available from:
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Description 1 online resource (iii, 23 pages)
Series IMF working paper ; WP/96/68
IMF working paper ; WP/96/68
Summary Annotation Models of Fundamental Equilibrium Exchange Rates (FEERs) impose internal and external balance, and so appeal to fundamental notions of equilibrium from a macroeconomic perspective. However, the need to estimate internal and external imbalances creates uncertainty in the approach. Parameters must be estimated, and equilibrium balances must be gauged using judgement. Hence it makes sense to consider the FEER as a statistical estimate rather than a fixed number, and to calculate confidence intervals for the FEER. This paper calculates such confidence intervals with data for Canada, under a variety of assumptions. the estimated confidence intervals are quite wide, principally because of uncertainty about price elasticities in the underlying trade equations
Bibliography Includes bibliographical references (pages 20-21)
Notes Master and use copy. Digital master created according to Benchmark for Faithful Digital Reproductions of Monographs and Serials, Version 1. Digital Library Federation, December 2002. MiAaHDL
digitized 2010 HathiTrust Digital Library committed to preserve pda MiAaHDL
Print version record
Subject Foreign exchange rates -- Canada -- Econometric models.
Foreign exchange rates.
Money -- Canada -- Econometric models.
Canada -- Commerce -- Econometric models.
Form Electronic book
Author International Monetary Fund. Western Hemisphere Department.
ISBN 1455274607