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RDP 8610: Equilibrium Exchange Rates and a Popular Model of International Asset Demands: An Inconsistency
Equation (13)
a
d
[
Q
w
]
−
a
^
d
[
Q
e
w
^
]=(
e
c
^
h
Q
−
c
f
Q
)
d
t
+
{
a
Q
w
d
[
Q
P
2
]/
Q
P
2
−
a
^
Q
e
w
^
d[
Q
p
1
]/
Q
p
1
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