Staff working papers

• The Dynamic Behaviour of Canadian Imports and the Linear-Quadratic Model: Evidence Based on the Euler Equation

  Staff Working Paper 1994-6 Robert Amano, Tony S. Wirjanto

  We examine the ability of the simple linear-quadratic model under rational expectations to explain dynamic behaviour of aggregate Canadian imports. In contrast to authors of previous studies who examine dynamic behaviour using the LQ model, we estimate the structural parameters using the Euler equation in a limited information framework that does not require an explicit solution for the model's control variables in terms of the exogenous forcing variables.

  Content Type(s): Staff research, Staff working papers Topic(s): Recent economic and financial developments

• Exchange Rate Volatility and Trade: A Survey

  Staff Working Paper 1994-5 Agathe Côté

  This paper provides an extensive survey of the literature on exchange rate volatility and trade, examining both the theory that underlies the work in this area and the results of empirical studies published since 1988.

  Content Type(s): Staff research, Staff working papers Topic(s): Exchange rates