“Is ASEAN an Affinity Group? What Exchange Rates Tell Us,” a blog and a background paper
As new challenges emerge for ASEAN, the lack of a coordinated exchange rate policy increases the uncertainty of business decisions. Although ASEAN has never moved to adopt a regional currency or set targets or bounds for existing currencies, increasingly, ASEAN may need to reconsider the issue. Cronbach’s alpha provides a useful measure of ASEAN’s exchange rate dynamics.
The blog is hosted by the American Committee on Asian Economic Studies (ACAES).
Read the background paper with full literature references.