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Testing the forward rate unbiasedness hypothesis during the 1920s

✍ Scribed by Panayiotis F. Diamandis; Dimitris A. Georgoutsos; Georgios P. Kouretas


Book ID
116575272
Publisher
Elsevier Science
Year
2008
Tongue
English
Weight
223 KB
Volume
18
Category
Article
ISSN
1042-4431

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The forward rate unbiasedness hypothesis
✍ W.A. Razzak πŸ“‚ Article πŸ“… 2002 πŸ› John Wiley and Sons 🌐 English βš– 233 KB

## Abstract It is widely accepted that long‐term interest rates are more suitable for testing the Uncovered Interest Rate Parity (UIP) than shorter‐term rates. This paper shows that while using longer‐term (1‐year) forward exchange rates are also more suitable than shorter‐term rates (1‐month) for