Monetárny model výmenného kurzu slovenskej koruny
Monetary Model of Exchange Rate of the Slovak Koruna

Summary/Abstract: We discuss the exchange rate determinants of the Slovak currency in the fra-mework of panel data estimations for six Central and Eastern European countries (Czech Republic, Hungary, Poland, Romania, Slovakia and Slovenia). We estimate monetary exchange rate model with several panel cointegration methods, which reflects that the exchange rates and economic fundamentals (differential industrial growth and interest rate differential to the euro area) are found to be non-statio-nary. Our results show that the monetary model is able to convincingly explain the long-run exchange rate relationships. Finally, the long-run monetary relationship is used to compute monetary equilibrium exchange rates for the Slovak koruna

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