政大機構典藏-National Chengchi University Institutional Repository(NCCUR):Item 140.119/73945

English | 正體中文 | 简体中文 | Post-Print筆數 : 27 | Items with full text/Total items : 113311/144292 (79%)
Visitors : 50927821 Online Users : 911

RC Version 6.0 © Powered By DSPACE, MIT. Enhanced by NTU Library IR team.

Home ‧ Login ‧ Upload ‧ Help ‧ About ‧ Administer

政大機構典藏 > 商學院 > 金融學系 > 期刊論文 > Item 140.119/73945

Please use this identifier to cite or link to this item: https://nccur.lib.nccu.edu.tw/handle/140.119/73945

Title:	Does PPP hold for Big Mac price or consumer price index? Evidence from panel cointegration
Authors:	Shen, Chung-Hua;Chen, Shyh-Wei 沈中華
Contributors:	金融系
Date:	2007
Issue Date:	2015-03-23 18:06:53 (UTC+8)
Abstract:	This paper examines the validity of purchasing power parity (PPP) using CPI and Big Mac prices. The benchmark model, i.e., the OLS method, which does not take nonstationarity into account, rejects the hypothesis of PPP regardless of prices used. We next use the panel cointegration method to consider the nonstationary nature of variables. Estimated results for CPI are mixed. The PPP is rejected when the nominal exchange rate is employed as the dependent variable but is not rejected when the price ratio is used as the dependent variable. By contrast, the PPP is overwhelmingly not rejected when the Big Mac price is used. Last, we remove the production bias and re-examine the same issue by using panel cointegration. The PPP is again decisively rejected when CPI price is used but not for Big Mac price. Accordingly, Big Mac price is more supportive to the validity of PPP than CPI price.
Relation:	Economics Bulletin, 6(16), 1-15
Data Type:	article
Appears in Collections:	[金融學系] 期刊論文

Files in This Item:

File	Description	Size	Format
EB-07F30007A.pdf		131Kb	Adobe PDF2	763	View/Open

社群 sharing

著作權政策宣告 Copyright Announcement

1.本網站之數位內容為國立政治大學所收錄之機構典藏，無償提供學術研究與公眾教育等公益性使用，惟仍請適度，合理使用本網站之內容，以尊重著作權人之權益。商業上之利用，則請先取得著作權人之授權。
The digital content of this website is part of National Chengchi University Institutional Repository. It provides free access to academic research and public education for non-commercial use. Please utilize it in a proper and reasonable manner and respect the rights of copyright owners. For commercial use, please obtain authorization from the copyright owner in advance.

2.本網站之製作，已盡力防止侵害著作權人之權益，如仍發現本網站之數位內容有侵害著作權人權益情事者，請權利人通知本網站維護人員(nccur@nccu.edu.tw)，維護人員將立即採取移除該數位著作等補救措施。
NCCU Institutional Repository is made to protect the interests of copyright owners. If you believe that any material on the website infringes copyright, please contact our staff(nccur@nccu.edu.tw). We will remove the work from the repository and investigate your claim.

Loading...