01601cas a2200241 a 4500 AALejournalIMF002454 230101c9999 xx r poo 0 0eng d 5.00 USD 9781451852783 1018-5941 BD-DhAAL BD-DhAAL Mathisen, Johan. Estimation of the Equilibrium Real Exchange Rate for Malawi / Johan Mathisen. Washington, D.C. : International Monetary Fund, 2003. 1 online resource (25 pages) IMF Working Papers <strong>Off-Campus Access:</strong> No User ID or Password Required <strong>On-Campus Access:</strong> No User ID or Password Required Electronic access restricted to authorized BRAC University faculty, staff and students This paper computes Malawi's equilibrium real exchange rate as a function of its fundamentals as derived from economic theory. It finds evidence in favor of the equilibrium approach to exchange rate determination, with several variables (particularly government consumption and real per capita growth) found to drive movements in the time-varying equilibrium real exchange rate. The results also indicate that following a shock there is a rapid reversion of the real exchange rate to its time-varying equilibrium, with a half-life of reversion of about 11 months. Mode of access: Internet IMF Working Papers; Working Paper ; No. 2003/104 Full text available on IMF http://elibrary.imf.org/view/journals/001/2003/104/001.2003.issue-104-en.xml IMF e-Library