This paper investigates the intradaily operational efficiency of the U. S. foreign exchange market by conducting computer simulation experiments with market structure (the numbers of market—makers, brokers and customers). The results indicate significant operational inefficiencies which can be explained by temporary inventory imbalances inherent in a decentralized market. The results also sugge...

This paper studies co-evolution of di erent decision rules in an arti cial foreign exchange market. The behavior of the exchange rate depends on the type of decision rules that agents use. Evolution of the moving average and least squares forecasting techniques results in a speculative attack on one of the currencies and that currency's eventual collapse. Addition of the rules that evolve the p...

This study describes metaphorical conceptualizations of the foreign exchange market held by market participants and examines how these metaphors socially construct the financial market. Findings are based on 55 semi-structured interviews with senior foreign exchange experts at banks and at financial news providers in Europe. We analysed interview transcripts by metaphor analysis, a method based...

in this article, demand equations for import of consumer, intermediate and capital goods for the period 1971(2) to 1999(1), is estimated and analyzed, using the ardl pesaran & shin method. the results show that the behavior of the different categories of imported goods in iran is best explained by the parallel market exchange rate, implying this rate is a closer approximation fir the opportunit...

In a universe with a single currency, there would be no foreign exchange market, no foreign exchange rates, and no foreign exchange. Over the past twenty-five years, the way the market has performed those tasks has changed enormously. The need for intelligent monitoring systems has become a necessity to keep track of the complex forex market. The vast currency market is a foreign concept to the...

Using intra-day data, this paper investigates the contribution to the price discovery of Euro and Japanese Yen exchange rates in three foreign exchange markets based on electronic trading systems: the CME GLOBEX regular futures, E-mini futures, and the EBS interdealer spot market. Contrary to evidence in equity markets and more recent evidence in foreign exchange markets, the spot market is fou...

We investigate conditional correlations between six CEEC-3 financial markets estimated by DCC-MGARCH models. In general, the highest correlations exist between Hungary and Poland in foreign exchange and stock markets. Short-term money markets are rather isolated from each other. We find that the associations of CEEC-3 exchange rates versus the euro are weaker than those versus the US dollar. Th...

This paper models a developing nation that faces a foreign exchange shortage and hence its demand for foreign goods is limited both by its income and its foreign exchange balance. Availability of international credit relaxes the second constraint. It is shown that in this setting the availability of intemational credit at concessionary rates can leave the borrowing nation worse off than if it h...

through the history and since 1933, the iranian rial has declined from 11.2 rials per dollar to almost 8600 rials per dollar today in the parallel or black market. at the same time the official rate has been kept at artificial level most of the time, not consistent with other macro conditions of the country. historically, however, the central bank has adjusted the official rate and brought it i...