<?xml version="1.0" encoding="ISO-8859-1"?><article xmlns:mml="http://www.w3.org/1998/Math/MathML" xmlns:xlink="http://www.w3.org/1999/xlink" xmlns:xsi="http://www.w3.org/2001/XMLSchema-instance">
<front>
<journal-meta>
<journal-id>1665-5346</journal-id>
<journal-title><![CDATA[Revista mexicana de economía y finanzas]]></journal-title>
<abbrev-journal-title><![CDATA[Rev. mex. econ. finanz]]></abbrev-journal-title>
<issn>1665-5346</issn>
<publisher>
<publisher-name><![CDATA[Instituto Mexicano de Ejecutivos de Finanzas A.C.]]></publisher-name>
</publisher>
</journal-meta>
<article-meta>
<article-id>S1665-53462018000300461</article-id>
<article-id pub-id-type="doi">10.21919/remef.v13i3.330</article-id>
<title-group>
<article-title xml:lang="en"><![CDATA[Purchasing Power Parity Principle in Latin American Countries]]></article-title>
<article-title xml:lang="es"><![CDATA[Principio de paridad de poder adquisitivo en los países latinoamericanos]]></article-title>
</title-group>
<contrib-group>
<contrib contrib-type="author">
<name>
<surname><![CDATA[Rodríguez-Benavides]]></surname>
<given-names><![CDATA[Domingo]]></given-names>
</name>
<xref ref-type="aff" rid="Aff"/>
</contrib>
<contrib contrib-type="author">
<name>
<surname><![CDATA[Climent-Hernández]]></surname>
<given-names><![CDATA[José Antonio]]></given-names>
</name>
<xref ref-type="aff" rid="Aff"/>
</contrib>
<contrib contrib-type="author">
<name>
<surname><![CDATA[Hoyos-Reyes]]></surname>
<given-names><![CDATA[Luis Fernando]]></given-names>
</name>
<xref ref-type="aff" rid="Aff"/>
</contrib>
</contrib-group>
<aff id="Af1">
<institution><![CDATA[,Autonomous Metropolitan University Azcapotzalco campus Systems Department]]></institution>
<addr-line><![CDATA[México D.F.]]></addr-line>
<country>Mexico</country>
</aff>
<pub-date pub-type="pub">
<day>00</day>
<month>09</month>
<year>2018</year>
</pub-date>
<pub-date pub-type="epub">
<day>00</day>
<month>09</month>
<year>2018</year>
</pub-date>
<volume>13</volume>
<numero>3</numero>
<fpage>461</fpage>
<lpage>477</lpage>
<copyright-statement/>
<copyright-year/>
<self-uri xlink:href="http://www.scielo.org.mx/scielo.php?script=sci_arttext&amp;pid=S1665-53462018000300461&amp;lng=en&amp;nrm=iso"></self-uri><self-uri xlink:href="http://www.scielo.org.mx/scielo.php?script=sci_abstract&amp;pid=S1665-53462018000300461&amp;lng=en&amp;nrm=iso"></self-uri><self-uri xlink:href="http://www.scielo.org.mx/scielo.php?script=sci_pdf&amp;pid=S1665-53462018000300461&amp;lng=en&amp;nrm=iso"></self-uri><abstract abstract-type="short" xml:lang="en"><p><![CDATA[Abstract: In this paper we test the purchasing power parity principle (PPP) with a sample of 17 Latin American countries and data from 1960 to 2016. For this purpose, we used two relatively new panel tests proposed by Pesaran (2007) and Hadri and Rao (2008).The first test allows the PPP to be tested on all possible pairs of real exchange rates of the currencies belonging to the countries studied herein. The second test allows us to identify the type of PPP hypothesis that characterizes each country&#8217;s bilateral real exchange rate vis-à-vis the U.S. dollar. This latter test takes into account that the series in the panel may contain a breakpoint or structural break and show cross-section dependency, that residuals are serially correlated, and that structural breaks can have diverse forms for each bilateral real exchange rate. Results from the Pesaran (2007) test suggest that the PPP is fulfilled for all possible pairs of real exchange rates studied here. In addition, the results of the Hadri and Rao (2008) test validate distinct versions of the PPP for countries in the region.]]></p></abstract>
<abstract abstract-type="short" xml:lang="es"><p><![CDATA[Resumen: Sometemos a prueba el principio de paridad del poder de compra (PPP) en una muestra de 17 países de América Latina en el periodo 1960-2016. Con tal fin empleamos dos pruebas relativamente novedosas de panel propuestas por Pesaran (2007) y Hadri y Rao (2008). La primera permite probar el PPP en todos los posibles pares de tipos de cambio real entre las monedas de los países considerados mientras que la segunda prueba permite identificar y validar diferentes versiones del PPP que pueden caracterizar el tipo de cambio real bilateral de cada país con respecto al dólar de los Estados Unidos. Esta última prueba contempla la posibilidad de que las series que conforman el panel presenten una ruptura estructural heterogénea entre los individuos, muestren dependencia de sección cruzada y que los residuos estén correlacionados serialmente. Los resultados de la prueba de Pesaran (2007) sugieren el cumplimiento del PPP en todos los posibles pares de tipos de cambio real analizados mientras que los resultados de la prueba de Hadri y Rao (2008) validan diferentes versiones del PPP en los tipos de cambio reales bilaterales de los países de la región con respecto al dólar de los Estados Unidos.]]></p></abstract>
<kwd-group>
<kwd lng="en"><![CDATA[F31]]></kwd>
<kwd lng="en"><![CDATA[F33]]></kwd>
<kwd lng="en"><![CDATA[G15]]></kwd>
<kwd lng="en"><![CDATA[Purchasing power parity]]></kwd>
<kwd lng="en"><![CDATA[Heterogeneous dynamic panels]]></kwd>
<kwd lng="en"><![CDATA[Panel stationary test]]></kwd>
<kwd lng="es"><![CDATA[F31]]></kwd>
<kwd lng="es"><![CDATA[F33]]></kwd>
<kwd lng="es"><![CDATA[G15]]></kwd>
<kwd lng="es"><![CDATA[Principio de paridad del poder de compra]]></kwd>
<kwd lng="es"><![CDATA[Paneles dinámicos heterogéneos]]></kwd>
<kwd lng="es"><![CDATA[Pruebas de estacionariedad en panel]]></kwd>
</kwd-group>
</article-meta>
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