The real effective exchange rate is an aggregation of several bilateral real exchange rates with respect to other countries. The aggregation is usually done under the assumption of constant elasticity ...

Konstantinos Drakos, The Elasticity of Substitution across Maturities in International Capital Markets: A Simple Test, Journal of Economic Integration, Vol. 20, No. 4 (December 2005), pp. 727-745 ...

This substitution effect reflects a high elasticity of demand in the presence of a close alternative. On the other hand, if few or no substitutes are available, demand tends to be inelastic.

This paper offers a new interpretation of the elasticity of substitution in the constant elasticity of substitution (CES) utility function under discrete choice and separability. We model an economy ...

In this model, the elasticity of marginal utility simultaneously reflects preferences for intertemporal substitution, aversion to risk, and aversion to (spatial) inequality. While these three concepts ...