Financial Fragility and the Exchange Rate Regime
نویسندگان
چکیده
منابع مشابه
Financial Fragility and the Exchange Rate Regime
We study financial fragility, exchange rate crises, and monetary policy in an open economy version of a Diamond-Dybvig model. The banking system, the exchange rate regime, and central bank credit policy are seen as parts of a mechanism intended to maximize social welfare; if the mechanism fails, banking crises and speculative attacks become possible. We compare currency boards, fixed rates, and...
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We study the impact on financial fragility of globalization and a switch from managed to freely floating exchange rate regime in the context of a two-country multi-region model a la Allen and Gale (Journal of Political Economy, 2000) with open-economy monetary features of Chang and Velasco (Journal of Economic Theory, 2000). In this economy, both banking and exchange rate crises may develop. In...
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Economic Transition and the Exchange-Rate Regime Author(s): Jeffrey D. Sachs Reviewed work(s): Source: The American Economic Review, Vol. 86, No. 2, Papers and Proceedings of the Hundredth and Eighth Annual Meeting of the American Economic Association San Francisco, CA, January 5-7, 1996 (May, 1996), pp. 147-152 Published by: American Economic Association Stable URL: http://www.jstor.org/stable...
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The study of the relation between the exchange rates regime and international trade is done using an inter-disciplinary vision that contains knowledge from four different disciplines: economics, history, mathematics and computer sciences. In the case of pure theory of international trade, there is made an abstraction of the fact that international trade is done using money. The theoretical anal...
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This paper proposes a new perspective on systematic deviations from purchasing power parity. Panel evidence for OECD countries shows that international financial integration increases the national price level under managed exchange rate regimes and lowers the price level under floating exchange rates. An open economy sticky-price model reproduces these findings by relating them to the possibili...
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ژورنال
عنوان ژورنال: Journal of Economic Theory
سال: 2000
ISSN: 0022-0531
DOI: 10.1006/jeth.1999.2621