@techreport{Beine2005impact,
abstract = {In this paper we investigate the effects of central bank interventions (CBI) in a noise trading
model with chartists and fundamentalists. We first estimate a model in which chartists
extrapolate past returns and fundamentalists forecast a mean reverting dynamics of the
exchange rate towards a fundamental value. Then, we investigate the role of central bank
interventions in explaining the switching properties between the two types of agents. We find
evidence that in the medium run, interventions increase the proportion of fundamentalists and
therefore exert some stabilizing influence on the exchange rate.},
author = {Michel Beine and Paul De Grauwe and Marianna Grimaldi},
copyright = {http://www.econstor.eu/dspace/Nutzungsbedingungen},
keywords = {F31; F33; 330; Wechselkurspolitik; Devisenhandel; Noise Trading; Wertpapieranalyse; Sch\"{a}tzung; Wechselkurs; Volatilit\"{a}t; Theorie; EU-Staaten; USA},
language = {eng},
number = {1520},
title = {The impact of FX central bank intervention in a noise trading framework},
type = {CESifo working papers},
url = {http://hdl.handle.net/10419/18984},
year = {2005}
}
