Forward exchange rate unbiasedness is rejected in tests from the current floating exchange
rate era. This paper surveys advances in this area since the publication of Hodrick's (1987) …

Publisher Summary This chapter presents a critical survey and an interpretation of recent
exchange rate research. It focuses on empirical results for exchange rates among major …

First published in 2007. Exchange Rate Economics: Theories and Evidence is the second
edition of Floating Exchange Rates: Theories and Evidence, and builds on the successful …

Quantitative Financial Economics Quantitative Financial Economics provides a
comprehensive introduction to models of economic behaviour in financial markets, focusing …

We analyze the performance and robustness of some common simple rules for monetary
policy in a New-Keynesian open-economy model under different assumptions about the …

In this article we reconsider the Froot and Frankel results on the sources of forward discount
bias. We question the economic validity of some estimation restrictions that they impose and …

Using a disaggregated international survey database we demonstrate that foreign exchange
forecasters hold heterogeneous expectations. We find that a major cause of these …

We develop and estimate a dynamic heterogeneous agent model for the EMS period. Our
empirical results suggest that the existence of heterogeneous interacting agents is indeed a …

This paper attempts to provide a logical overview of the literature which exploits survey data
to examine issues of expectations formation and risk aversion in financial markets. Our …

This paper reviews the empirical literature on foreign exchange rate expectations. Prominent
issues are the forward premium puzzle, expectations formation in financial markets …