Exchange Rate and Trade Imbalance Ashok K Nag Ghanashyam Upadhya THE article by Prabirjit Sarkar ('India's Balance of Payments and Exchange Rate Behaviour since 1971: A New Approach', January 1-8) shows that 'unit root' econd- metrics is fast becoming an indispensable and standard item in the tool-box of an applied econometri-cian. Sarkar
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