RDP 1977-07: Money and the Balance of Payments Equation (7) Bank rate

Dlog r b = α 7 ( log r ^ b log r b )+ γ 2 Dlog r w r ^ b = r 0 ( EP i P ) β 10 ( y y* e λ 1 t ) β 11 ( R R* e λ 2 t ) β 12 ( Λ Λ* e λ 2 t ) β 13 MathType@MTEF@5@5@+=feaagCart1ev2aaatCvAUfeBSjuyZL2yd9gzLbvyNv2CaerbuLwBLnhiov2DGi1BTfMBaeXatLxBI9gBaerbd9wDYLwzYbItLDharqqtubsr4rNCHbGeaGqiVu0Je9sqqrpepC0xbbL8F4rqqrFfpeea0xe9Lq=Jc9vqaqpepm0xbba9pwe9Q8fs0=yqaqpepae9pg0FirpepeKkFr0xfr=xfr=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@8F55@