Discover how the nominal effective exchange rate (NEER) measures currency competitiveness globally, and learn how the NEER impacts forex markets and trade policy analysis.

The currency exchange rates that we see and use every day are nominal exchange rates. They tell us what we get if we swap a unit of one currency for another – for example, a pound-dollar exchange rate ...

Multiple economic factors influence interest rates. Three types of interest rates, including real, nominal, and effective affect consumers' borrowing and investment choices. The nominal interest rate ...

Interest rate volatility has been high, and rotations between value and growth in equities have been sharp. Over the past few decades, a recession was generally accompanied by a decline in earnings ...

Most countries hold large gross asset positions, lending in domestic currency and borrowing in foreign. Thus, their balance sheets are exposed to nominal exchange rates. We argue that when asset ...

This paper presents a model of an economy that uses nominal exchange rate policy to keep the real exchange rate constant at a certain target level, under an assumption of imperfect asset ...

Citations: Rebelo, Sergio, Benjamin Johannsen, Martin Eichenbaum. 2021. Monetary Policy and the Predictability of Nominal Exchange Rates. Review of Economic Studies. (1)192-228..