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Hardcover The Exchange Rate in a Behavioral Finance Framework Book
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ISBN: 069112163X

ISBN13: 9780691121635

The Exchange Rate in a Behavioral Finance Framework

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Format: Hardcover

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Book Overview

This book provides an alternative view of the workings of foreign exchange markets.

The authors' modeling approach is based on the idea that agents use simple forecasting rules and switch to those rules that have been shown to be the most profitable in the past. This selection mechanism is based on trial and error and is probably the best possible strategy in an uncertain world, the authors contend. It creates a rich dynamic in the foreign...

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