On the endogeneity of exchange rate regimes
Websmooth out favorable and unfavorable exchange rate movements due to bilateral ex-change rate volatility. We suggest a bootstrap testing procedure to formally exam-ine if there are significant differences in the foreign trade multiplier effects across the two regimes of the model, under potential endogeneity of the threshold variable. Our Webexchange rate regime (de facto or de jure), the problem of endogeneity of exchange rate regime and more importantly, most studies are based on cross-country cases that may not account for underlying country specific factors. The problem of endogeneity of the exchange rate regime points to a possibility of two-way causality between inflation and
On the endogeneity of exchange rate regimes
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Webseen as evidence in favour of the endogeneity hypothesis of optimum currency areas (OCAs). According to this hypothesis, the criteria stressed by the traditional OCA theory are endogenous, rather than exogenous to the exchange rate arrangement (Frankel and Rose 1998). Thus, supporters of the endogeneity hypothesis argue that countries considering WebIn this sense it confirms that monocausal explanations are unlikely to provide an adequate account of the endogeneity of exchange rate regimes. The international monetary …
Webthis strand of the literature, namely the Lucas critique, endogeneity of the exchange rate regime, 3 Calvo (1999) and Calvo and Reinhart (2000a, 2000b) 4 See, for instance, Ghosh et al (1997), Baxter and Stockman (1989), and Edwards and Savastano (1999) for a … Web1 de out. de 2008 · Choosing an exchange rate regime is one of the most important decisions in macroeconomic policymaking. Some countries may peg their currency to gain credibility and control domestic inflation, while others may be more prone to float due to the larger incidence of real shocks. In spite of the abundant literature on the determinants of …
Web7 de jan. de 2008 · The Endogeneity of Exchange Rate Regimes. NBER Working Paper No. w4361. 55 Pages Posted: 7 Jan 2008 Last revised: 4 Dec 2024. See all articles by Barry Eichengreen Barry Eichengreen. University of California, Berkeley; National Bureau of Economic Research (NBER); Centre for Economic Policy Research (CEPR) Webendogeneity of the exchange rate regime, andthe sample selection problem . Empirical results demonstrate that exchange rate regime does make a difference for inflation performance. The findings indicate that transition countries with intermediate arrangements may achieve lower inflation if they were to adopt a fixed regime.
WebThe evidence provides support for a number of the hypotheses considered. In this sense it confirms that monocausal explanations are unlikely to provide an adequate …
Web"On the endogeneity of exchange rate regimes," UC3M Working papers. Economics we098374, Universidad Carlos III de Madrid. Departamento de Economía. Levy-Yeyati, Eduardo & Sturzenegger, Federico & Reggio, Iliana, 2006. "On the Endogeneity of Exchange Rate Regimes," Working Paper Series rwp06-047, Harvard University, John … sharm el sheikh foodWeb21 de mai. de 2005 · The literature has identified three main approaches to account for the way exchange rate regimes are chosen: i) the optimal currency area theory; ii) the … sharm el sheikh dove alloggiareWebhave been little influenced by the frequent twist and turns in the exchange rate regime debate. JEL classification: F30; F33 Keywords: exchange rates, growth, impossible trinity, dollarization, capital flows * Eduardo Levy Yeyati is with the Business School of Universidad Torcuato Di Tella, Federico Sturzenegger is population of mapleton utahWebAn exchange rate regime is a way a monetary authority of a country or currency union manages the currency about other currencies and the foreign ... Federico & Reggio, Iliana (2006) "On the Endogeneity of Exchange Rate Regimes," Working Paper Series rwp06-047, Harvard University, John F. Kennedy School of Government. Nenovsky. N, K ... sharm el sheikh four seasons packageWebDownloadable! In contrast to the widely recognized importance of exchange rate regimes, evidence on their effect on business cycle synchronization focuses almost exclusively on the role of currency unions, thus implicitly ignoring potential effect of other exchange rate regimes. In this paper we use a new dataset on bilateral de-facto exchange rate … population of maple ridgeWeb5 de jul. de 2012 · The literature has identified at least five approaches to the determinants of the choice of exchange rate regimes: i) optimal currency area theory; ii) exchange … population of maple grove minnesotaWebThe literature has identified at least five approaches to the determinants of the choice of exchange rate regimes: i) optimal currency area theory; ii) exchange rate policy and … population of maplewood mn