Galí, JordiUniversitat Pompeu Fabra. Departament d'Economia i Empresa2024-11-142024-11-142017-05-02Journal of Money, Credit and Banking 52(S2), 465-496.http://hdl.handle.net/10230/44699Under uncovered interest parity (UIP), the size of the e¤ect on the real exchange rate of an anticipated change in real interest rate di¤erentials is invariant to the horizon at which the change is expected. Empirical evidence using US, euro area and UK data points to a substantial deviation from that invariance prediction: expectations of interest rate di¤erentials in the near (distant) future are shown to have much larger (smaller) e¤ects on the real exchange rate than is implied by UIP. Some possible explanations are discussed.application/pdfengL'accés als continguts d'aquest document queda condicionat a l'acceptació de les condicions d'ús establertes per la següent llicència Creative CommonsUncovered interest parity, forward guidance and the exchange rate<resourceType xmlns="http://datacite.org/schema/kernel-3" resourceTypeGeneral="Other">info:eu-repo/semantics/workingPaper</resourceType><subject xmlns="http://datacite.org/schema/kernel-3" subjectScheme="keyword">forward guidance puzzle</subject><subject xmlns="http://datacite.org/schema/kernel-3" subjectScheme="keyword">uncovered interest rate parity</subject><subject xmlns="http://datacite.org/schema/kernel-3" subjectScheme="keyword">unconventional monetary policies</subject><subject xmlns="http://datacite.org/schema/kernel-3" subjectScheme="keyword">open economy new keynesian model.</subject><subject xmlns="http://datacite.org/schema/kernel-3" subjectScheme="keyword">Macroeconomics and International Economics</subject><rights xmlns="http://datacite.org/schema/kernel-3">info:eu-repo/semantics/openAccess</rights>