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Border, border, wide and far, how we wonder what you are (Английский)

The authors exploit three-dimensional panel data on prices for twenty seven traded goods, over eighty eight quarters, across ninety six cities in Japan, and the United States, to answer several questions: 1) Does the average exchange rate between countries stray further from zero, than that between cities within a country? 2) Is there any tendency for the average exchange rate to move closer to zero over time? 3) Does the border narrow over time?...
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