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the cuban dollarization
the cuban dollarization

... The dollarization in Cuba before the revolution The time of the U.S. domination Present dollarization of the Cuban economy is not of the same nature than that which characterized its past history, and cannot be interpreted as a return to the situation prevailing before 1959. The dollar has circulate ...
IOSR Journal Of Humanities And Social Science (IOSR-JHSS)
IOSR Journal Of Humanities And Social Science (IOSR-JHSS)

... momentum following 1973 breakdown of exchange rate control stipulated by the Bretton-Woods institutions and the establishment of a largely-flexible or market oriented pricing mechanisms for currencies. Devaluation has been described as a policy prescription aimed at strengthen the trade balance, but ...
Since Robert Mugabe took power in 1980, Zimbabwe`s
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... To avoid speculative bubbles caused by these negative real rates, Reserve Bank of Zimbabwe governor Gideon Gono increased the interest rate to curb inflation, rather than letting the rate be market determined. The lending rate was set at 500 percent in October 20067; some reports state that it may h ...
Jose De Gregorio--Resilience in Latin America Final IMF-WP
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... The ability to conduct expansionary macroeconomic policies hinged upon the sound initial macroeconomic conditions that EMEs faced. Fiscal accounts were, as ever, healthy. Levels of public debt were relatively low. Countries that had a windfall gain from high terms of trade saved before the crisis, h ...
click
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... Money supply increases Thai interest rate decreases Thai citizens want to buy more assets in foreign countries and foreigners wants to buy less assets in Thailand  demand for USD increases and supply of USD decreases  exchange rate increases  Baht depreciates  Exports increase and imports decr ...
Dollar Bloc or Dollar Block: External Currency Pricing and the  Abstract
Dollar Bloc or Dollar Block: External Currency Pricing and the Abstract

... for Korea, Malaysia and Thailand, relative to their pre-crisis trend (panels G and H). In the wake of the sharp devaluation, both import and export price deflators rise sharply. Hence, there is high exchange rate pass-through (as documented in Burstein et al 2003) into import prices, but also into e ...
Examining exchange rate return factors before and after
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... phenomenon is also commonly referred to as "Flight to safety" (FTS). "Both money market instruments and corporate bonds face abnormal negative returns in FTS episodes. Most commodity prices decrease sharply during FTS episodes, whereas the gold price measured in dollars increases slightly. Both econ ...
Can a Depreciation of Dollar Close US Trade Deficit? Ritsumeikan
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Why the Dollar Needs to Fall Further
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Ronald I. McKinnon AN INTERNATIONAL GOLD STANDARD WITHOUT GOLD
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Exchange Rates and Trade Balances under the Dollar Standard
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S t
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... This fixes the exchange rate at that level (example: Hong Kong).  Dollarization: The economy abandons a national currency and uses some foreign currency for all transactions (example: Panama).  Currency Area: A number of countries choose to jointly adopt the same currency (example: Euroland).  Ex ...
Foreign exchange topic exploration pack
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DISCUSSION PAPERS THE MAKING OF THE TURKISH FINANCIAL CRISIS
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exchange rate
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... and attracted capital inflows. During the golden age of capital flows, the big recipients of capital from Europe were also places to which large numbers of Europeans were moving. These large-scale population movements were possible before World War I because there were few legal restrictions on immi ...
Chapter 18
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Ch05.pps
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... and investment. We’ll borrow a part of the model from Chapter 3, but won’t assume that the real interest rate equilibrates saving and investment. Instead, we’ll allow the economy to run a trade deficit and borrow from other countries, or to run a trade surplus and lend to other countries. Consider a ...
Jacob A. Frenkel and Morris Goldstein THE INTERNATIONAL MONETARY SYSTEM: Introduction
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Chapter 13
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... They are above and beyond the short term line Waiting premium – extra cost for having to wait to get the money back Inflationary expectation premium – the longer the loan, the more likely the real return will be eaten up by inflation Ex. 5% return on loan, but inflation is 5%, you ...
2. chapter currency crisis models and predicting a currency crisis
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... In this study, i try to explain the causes of currency crises by using some crucial indicators. In order to analyze the currency crises we include the GDP growth, bank liquid reserves to bank assets ratio, domestic credit provided by banking sector, current account balance to reserves ratio, M2 grow ...
FREE Sample Here
FREE Sample Here

... A. Start with £100 and trade for $500 at the official exchange rate. Redeem the $500 for 13.89 ounces of gold. Trade the gold for £83.33. B. Start with $100 and buy gold. Sell the gold for £16.67. Sell the pounds at the official exchange rate. C. Start with £100 and buy gold. Sell the gold for $600. ...
PPT
PPT

... exclusively on financial volatility is debatable. In a sense, this goes to the other extreme, compared to the literature focusing only on trade-related volatility. Key problem for developing countries in deciding how much reserves to hold: their higher exposure to “bad” shocks (both real and financi ...
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Bretton Woods system

The Bretton Woods system of monetary management established the rules for commercial and financial relations among the United States, Canada, Western Europe, Australasia and Japan in the mid-20th century. The Bretton Woods system was the first example of a fully negotiated monetary order intended to govern monetary relations among independent nation-states. The chief features of the Bretton Woods system were an obligation for each country to adopt a monetary policy that maintained the exchange rate by tying its currency to gold and the ability of the IMF to bridge temporary imbalances of payments. Also, there was a need to address the lack of cooperation among other countries and to prevent competitive devaluation of the currencies as well.Preparing to rebuild the international economic system while World War II was still raging, 730 delegates from all 44 Allied nations gathered at the Mount Washington Hotel in Bretton Woods, New Hampshire, United States, for the United Nations Monetary and Financial Conference, also known as the Bretton Woods Conference. The delegates deliberated during 1–22 July 1944, and signed the Bretton Woods agreement on its final day. Setting up a system of rules, institutions, and procedures to regulate the international monetary system, these accords established the International Monetary Fund (IMF) and the International Bank for Reconstruction and Development (IBRD), which today is part of the World Bank Group. The United States, which controlled two thirds of the world's gold, insisted that the Bretton Woods system rest on both gold and the US dollar. Soviet representatives attended the conference but later declined to ratify the final agreements, charging that the institutions they had created were ""branches of Wall Street."" These organizations became operational in 1945 after a sufficient number of countries had ratified the agreement.On 15 August 1971, the United States unilaterally terminated convertibility of the US dollar to gold, effectively bringing the Bretton Woods system to an end and rendering the dollar a fiat currency. This action, referred to as the Nixon shock, created the situation in which the United States dollar became a reserve currency used by many states. At the same time, many fixed currencies (such as the pound sterling, for example), also became free-floating.
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