The objective of this paper is to show that the proposal by Froot and Thaler (1990) of delayed portfolio adjustment can account for a broad set of puzzles about the relationship between interest rates
We introduce safe asset demand for dollar-denominated bonds into a tractable incomplete-market model of exchange rates. The convenience yield on dollar bonds enters as a stochastic wedge in the Euler
This dataset contains the monthly macroeconomic data used in the empirical analysis of the study “Exchange Rate Insulation under a Semi-Flexible Regime: Evidence from Morocco”. The data cover the peri
