Paper III - Is East Africa an Optimum Currency Area
... arrangement in that the nominal exchange rate is already redundant as a policy instrument. Frankel and Rose (1996) also noted that a small open economy will ...
... arrangement in that the nominal exchange rate is already redundant as a policy instrument. Frankel and Rose (1996) also noted that a small open economy will ...
Exchange rates, expected returns and risk: UIP unbound CAMA
... relationship between exchange rates and interest rates.2 A no-arbitrage condition - uncovered interest parity (UIP) - implies a close link between exchange rates and relative interest returns, but evidence of that link has proved elusive. Empirical tests of UIP fail systematically across currency pa ...
... relationship between exchange rates and interest rates.2 A no-arbitrage condition - uncovered interest parity (UIP) - implies a close link between exchange rates and relative interest returns, but evidence of that link has proved elusive. Empirical tests of UIP fail systematically across currency pa ...
Webtrader Business Terms For Securities Trading
... transactions and commission trades in Securities. The Client may limit an order in a defined period, should the Client wants to buy or sell at a specific price. If the price within the period equals or breaches the price indicated, the trade will be executed. When entering a market order via the Tra ...
... transactions and commission trades in Securities. The Client may limit an order in a defined period, should the Client wants to buy or sell at a specific price. If the price within the period equals or breaches the price indicated, the trade will be executed. When entering a market order via the Tra ...
No Slide Title
... • EC 7th Directive, passed in 1983 and implemented in most member states by the early 90s, imposes consolidation but does not prescribe any particular translation method. The only requirement is that the notes to the accounts should disclose the method that was used ...
... • EC 7th Directive, passed in 1983 and implemented in most member states by the early 90s, imposes consolidation but does not prescribe any particular translation method. The only requirement is that the notes to the accounts should disclose the method that was used ...
PDF
... prices of tradable goods will not be tied firmly to the world market and changes in P/Pn may not reflect changes in e.p*/p accurately (Harberger, 1986, pp. 387-94; Balassa, 1987, pp. 2-3; Edwards, 1987, Appendix 1). Similarly, if there is no clear distinction between tradable and non-tradable goods ...
... prices of tradable goods will not be tied firmly to the world market and changes in P/Pn may not reflect changes in e.p*/p accurately (Harberger, 1986, pp. 387-94; Balassa, 1987, pp. 2-3; Edwards, 1987, Appendix 1). Similarly, if there is no clear distinction between tradable and non-tradable goods ...
13-102 Fixed Exchange Rates
... – In the past, many currencies operated under a fixed-exchange-rate system, in which exchange rates were determined by governments • The exchange rates were fixed because the central banks in those countries offered to buy or sell the currencies at the fixed exchange rate • Examples include the gold ...
... – In the past, many currencies operated under a fixed-exchange-rate system, in which exchange rates were determined by governments • The exchange rates were fixed because the central banks in those countries offered to buy or sell the currencies at the fixed exchange rate • Examples include the gold ...
CURRENCY BOARDS Steve H. Hanke and Kurt Schuler
... Standard textbooks characterize the evolution of an economy toward a modern market economy in the following way. Initially resources are privately owned but there is no money, so trade takes the form of unorganized barter. That is extremely costly and inefficient because it requires a double coincid ...
... Standard textbooks characterize the evolution of an economy toward a modern market economy in the following way. Initially resources are privately owned but there is no money, so trade takes the form of unorganized barter. That is extremely costly and inefficient because it requires a double coincid ...
On the Rand: Determinants of the South African Exchange Rate
... exchange rate for the entire sample period, and significantly so. ((These results are reported in Frankel, 2007.) The same is true when we include total income rather than per capita, as in old models based on the demand for money. If we include income per capita (or income) without the real mineral ...
... exchange rate for the entire sample period, and significantly so. ((These results are reported in Frankel, 2007.) The same is true when we include total income rather than per capita, as in old models based on the demand for money. If we include income per capita (or income) without the real mineral ...
Monetary policy in Vietnam: the case of a transition country
... two-tier banking system, the establishment of joint stock banks (JSB) the restructuring of state-owned commercial banks (SOCBs), the liberalisation of interest rates and the development of financial markets. 6 Reforms, which started in the first half of the 1990s, have since then been implemented g ...
... two-tier banking system, the establishment of joint stock banks (JSB) the restructuring of state-owned commercial banks (SOCBs), the liberalisation of interest rates and the development of financial markets. 6 Reforms, which started in the first half of the 1990s, have since then been implemented g ...
NBER WORKING PAPER SERIES MONETARY AND FISCAL POLICY UNDER PERFECT FORESIGHT:
... the domestic and foreign economies. The decomposition of the dynamics into averages and differences makes it clear how the anticipations of future policy changes, which operate through their impact on the current exchange rate, affect the two economies in offsetting ways in the short ...
... the domestic and foreign economies. The decomposition of the dynamics into averages and differences makes it clear how the anticipations of future policy changes, which operate through their impact on the current exchange rate, affect the two economies in offsetting ways in the short ...
Fixed Exchange Rate and the Autonomy of Monetary
... Can monetary policy be autonomous in the context of a fully pegged exchange rate and a capital account officially free? The objective of the monetary cooperation in the franc zone is to maintain the ability of monetary policy to offset unexpected shocks within the framework of a fixed exchange rate. ...
... Can monetary policy be autonomous in the context of a fully pegged exchange rate and a capital account officially free? The objective of the monetary cooperation in the franc zone is to maintain the ability of monetary policy to offset unexpected shocks within the framework of a fixed exchange rate. ...
International Economics, 10e (Krugman/Obstfeld/Melitz) Chapter 21
... A) the inflation rates of member countries converging to the low German levels, a result that was not matched by similar countries who did not fix their exchange rates. B) the inflation rates of member countries failing to converge to the low German levels. C) the inflation rates of member countries ...
... A) the inflation rates of member countries converging to the low German levels, a result that was not matched by similar countries who did not fix their exchange rates. B) the inflation rates of member countries failing to converge to the low German levels. C) the inflation rates of member countries ...
NBER WORKING PAPER SERIES INTERNATIONAL BORROWING, CAPITAL CONTROLS AND THE EXCHANGE RATE:
... 17% of total external debt in 1987. Later, Chile’s return to international financial markets and voluntary lending combined with sound public finances (the fiscal accounts where in surplus until 1999) drove the share of the private sector in total external debt up 84% in 2000. Subsequently, as a res ...
... 17% of total external debt in 1987. Later, Chile’s return to international financial markets and voluntary lending combined with sound public finances (the fiscal accounts where in surplus until 1999) drove the share of the private sector in total external debt up 84% in 2000. Subsequently, as a res ...
Document
... dollar for a five (or more) year period. The New York Federal Reserve provides daily reports of current rates for many countries. The exchange rate is reported as units of foreign currency per US dollar. Go to (http://www.ny.frb.org) link to “markets” and then to “Foreign Exchange.” You will als ...
... dollar for a five (or more) year period. The New York Federal Reserve provides daily reports of current rates for many countries. The exchange rate is reported as units of foreign currency per US dollar. Go to (http://www.ny.frb.org) link to “markets” and then to “Foreign Exchange.” You will als ...
Currency Crises
... The constraint imposed by the unholy trinity was put to the test most dramatically by the three major currency crises of the 1990s—the speculative attack on the European Monetary System (EMS) in 1992-93, the Mexican peso crisis of 1994-95, and the Asia crisis of 1997-98. As Germany raised its inter ...
... The constraint imposed by the unholy trinity was put to the test most dramatically by the three major currency crises of the 1990s—the speculative attack on the European Monetary System (EMS) in 1992-93, the Mexican peso crisis of 1994-95, and the Asia crisis of 1997-98. As Germany raised its inter ...
Feenstra ch 18
... are equal. In this example, the dollar interest rate is 5%, the euro interest rate is 3%, and the expected future exchange rate (one year ahead) is = 1.224 $/€. The equilibrium is highlighted in bold type, where both returns are 5% in annual dollar terms. Figure 12-2 plots the domestic and foreign r ...
... are equal. In this example, the dollar interest rate is 5%, the euro interest rate is 3%, and the expected future exchange rate (one year ahead) is = 1.224 $/€. The equilibrium is highlighted in bold type, where both returns are 5% in annual dollar terms. Figure 12-2 plots the domestic and foreign r ...
Chinese Exporters, Exchange Rate Exposure, and the
... against the Japanese yen or European currencies such as the euro and pound. Even if Chinese …rms correctly evaluate their exposure to currency movements, they have few options for …nancial risk management. Hedging instruments are not typically available or well-understood, and where available are re ...
... against the Japanese yen or European currencies such as the euro and pound. Even if Chinese …rms correctly evaluate their exposure to currency movements, they have few options for …nancial risk management. Hedging instruments are not typically available or well-understood, and where available are re ...
A Three-State Markov-Modulated Switching Model for Exchange Rates
... to a unit of euros, British pounds, and Japanese yen. It is easily seen that the three currencies switched between appreciation and depreciation states during the period under review. However, owing to varying monetary policies, currencies which may be allowed to float at some times and pegged at ot ...
... to a unit of euros, British pounds, and Japanese yen. It is easily seen that the three currencies switched between appreciation and depreciation states during the period under review. However, owing to varying monetary policies, currencies which may be allowed to float at some times and pegged at ot ...
NBER WORKING PAPER SERIES SPECIAL EXCHANGE RATES FOR CAPITAL ACCOUNT TRANSACTIONS Rudiger Dornbusch
... differential up to January 1983 corresponds to the early experimentation with ...
... differential up to January 1983 corresponds to the early experimentation with ...
Exchange Rate Regime Choice with Multiple Key Currencies
... In the empirical section of this paper we test the predictions of our theory with respect to exchange rate regime choice with multiple key currencies. We find that imports from the country issuing the key currency and imports from countries that have already pegged to that currency explain a countr ...
... In the empirical section of this paper we test the predictions of our theory with respect to exchange rate regime choice with multiple key currencies. We find that imports from the country issuing the key currency and imports from countries that have already pegged to that currency explain a countr ...
THE CENTRAL BANK OF THE REPUBLIC OF TURKEY
... would provide. In general, it was expected that for emerging markets which usually have a higher rate of return than industrialized countries, it would offer the possibility of cheaper trade and investment finance, it could facilitate channelling of world wide savings to more productive areas, finan ...
... would provide. In general, it was expected that for emerging markets which usually have a higher rate of return than industrialized countries, it would offer the possibility of cheaper trade and investment finance, it could facilitate channelling of world wide savings to more productive areas, finan ...
NBER WORKING REAL A SELECTIVE SURVEY Rudiger Dornbusch
... loss in wealth, income, and world market share. Note, however, that because of price controls during World War II and relatively effective exchange control in the early postwar period the rate in the 1940s cannot be interpreted as an "equilibrium" real exchange rate. But even so a significant differ ...
... loss in wealth, income, and world market share. Note, however, that because of price controls during World War II and relatively effective exchange control in the early postwar period the rate in the 1940s cannot be interpreted as an "equilibrium" real exchange rate. But even so a significant differ ...
Purchasing power parity
... together in long run In the short run, exchange rates can deviate significantly from purchasing power parity, and the difference can be dramatic Purchasing power parity is most useful as a long-run benchmark for what the exchange rate should be as it is a poor predictor of the actual exchange rate ...
... together in long run In the short run, exchange rates can deviate significantly from purchasing power parity, and the difference can be dramatic Purchasing power parity is most useful as a long-run benchmark for what the exchange rate should be as it is a poor predictor of the actual exchange rate ...
Thomas Plümper Department of Government, University of Essex Eric Neumayer
... In the empirical section of this paper we test the predictions of our theory with respect to exchange rate regime choice with multiple key currencies. We find that imports from the country issuing the key currency and imports from countries that have already pegged to that currency explain a countr ...
... In the empirical section of this paper we test the predictions of our theory with respect to exchange rate regime choice with multiple key currencies. We find that imports from the country issuing the key currency and imports from countries that have already pegged to that currency explain a countr ...