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RDP 8610: Equilibrium Exchange Rates and a Popular Model of International Asset Demands: An Inconsistency
Equation (22b)
d
w
^
=
w
^
[
r
^
+
Σ
^
a
^
j
(
μ
^
j
−
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a
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s
^
+
1
(
r
−
μ
e
+
σ
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2
−
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Σ
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a
s
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j
(
μ
j
−
μ
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σ
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2
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σ
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−
c
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w
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d
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Σ
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a
j
σ
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j
d
z
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−
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Σ
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1
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σ
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]
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