Parallel exchange rates in developing countries : lessons from eight case studies
Author : Miguel Alberto Kiguel
Publisher :
Page : 39 pages
File Size : 31,45 MB
Release : 1991
Category : Estudio de casos
ISBN :
Author : Miguel Alberto Kiguel
Publisher :
Page : 39 pages
File Size : 31,45 MB
Release : 1991
Category : Estudio de casos
ISBN :
Author : Miguel A. Kiguel
Publisher : Springer
Page : 411 pages
File Size : 12,16 MB
Release : 2016-07-27
Category : Business & Economics
ISBN : 1349255203
'...the most definitive study of the subject, assembling an all-star cast to address the many outstanding questions and succeeding beyond expectations in combining elegant theory and state of the art econometrics to reach very sensible policy conclusions.' - Mohsin S. Khan, Deputy Director, Research Department, International Monetary Fund ' This book fills an important vacuum in the literature of the economic consequences of parallel markets and should prove of great value to students of economic development and to policy-makers in developing countries as they struggle to reform their exchange rate and trade incentive systems. Here they will find all that they need to know.' - Vittorio Corbo, Professor of Economics, Universidad Catolica de Chile 'A most comprehensive treatment of the relationships between parallel foreign exchange markets and macroeconomic policies, both across countries and over time. The book substantially enhances our understanding of how these systems work in practice and will be of great interest to policy-makers, researchers and graduate students of economic policy.' - Samuel M. Wangwe, Professor of Economics, University of Dar es Salaam and Executive Director, Economic and Social Research Foundation, Dar es Salaam, Tanzania This book examines extensive empirical evidence on the macroeconomic implications of parallel exchange rates in developing countries. Eight case-studies from Africa, Latin America, and Turkey provide detailed evidence on the emergence of parallel exchange rates, their impact on macroeconomic performance, and the criteria for successful exchange-rate unification. A chapter on European dual exchange rates summarizes the contrasting experience of industrial countries. An overview chapter lays out the analytical framework, assesses the evidence, and draws policy conclusions.
Author :
Publisher : World Bank Publications
Page : 62 pages
File Size : 32,33 MB
Release :
Category :
ISBN :
Author : International Monetary Fund
Publisher : International Monetary Fund
Page : 52 pages
File Size : 42,32 MB
Release : 1990-12-01
Category : Business & Economics
ISBN : 1451943229
The paper reviews recent theoretical and empirical developments in the analysis of informal currency markets in developing countries. The basic characteristics of these markets are highlighted, and alternative analytical models to explain them are discussed. The implications for exchange rate policy —including imposition of foreign exchange restrictions, devaluation, and unification of exchange markets— in countries with a sizable parallel market are also examined.
Author : Pierre-Richard Agénor
Publisher : International Finance Section Department of Econ Ton Univers
Page : 48 pages
File Size : 49,36 MB
Release : 1992
Category : Foreign exchange
ISBN :
Author : Sebastian Edwards
Publisher : University of Chicago Press
Page : 460 pages
File Size : 46,8 MB
Release : 2007-12-01
Category : Business & Economics
ISBN : 0226184730
In spite of the attention paid exchange rates in recent economic debates on developing countries, relatively few studies have systematically analyzed in detail the various ramifications of exchange rate policy in these countries. In this new volume from the National Bureau of Economic Research, leading economists use rigorous models to tackle various exchange rate issues, while also illuminating policy implications that emerge from their analyses. The volume, divided into four main sections, addresses: the role of exchange rates in stabilization programs and the adjustment process; the importance of exchange rate policy during liberalization reform in developing countries; exchange rate problems relevant and unique to developing countries, illustrated by case studies; and the problems defining, measuring, and identifying determinants of real exchange rates. Authors of individual papers examine the relation between commercial policies and exchange rates, the role of exchange rate policy in stabilization programs, the effectiveness of devaluations as a policy tool, and the interaction between exchange rate terms of trade an capital flow. This research will not only prove crucial to our understanding of the role of exchange rates in developing countries, but will clearly set the standard for future work in the field.
Author : Mr.Peter Montiel
Publisher : International Monetary Fund
Page : 26 pages
File Size : 33,13 MB
Release : 1993-08-01
Category : Business & Economics
ISBN : 1451960352
It is often argued that the parallel market premium is a useful indicator of real exchange rate misalignment in developing countries. The empirical evidence does not, however, suggest the existence of a robust correlation between these two endogenous variables that is independent of the nature of economic shocks and various structural relationships in the economy. This paper presents an analytical investigation of the reliability of the parallel market premium as an indicator of real exchange rate misalignment in the context of a fully optimizing model of a developing country. The analysis suggests that one should exercise caution in drawing inferences about the sign and magnitude of real exchange rate misalignment from the parallel market premium.
Author : Pan A. Yotopoulos
Publisher : Cambridge University Press
Page : 356 pages
File Size : 30,74 MB
Release : 1996
Category : Business & Economics
ISBN : 9780521482165
This book extends recent theories of incomplete markets to investigate empirically the appropriate balance between the market and the state in the trade relations between developed and developing countries. The conclusion is that in an ideal world government intervention in foreign exchange and trade is necessary in developing countries in the early stages and inevitably decreases as development occurs. Rationing of foreign exchange prevents a 'soft currency distortion' that commonly afflicts developing countries and can turn comparative advantage trade into competitive devaluation trade, with severe losses of income and welfare. Yotopoulos finds that the level of underdevelopment narrowly circumscribes and conditions the extent to which free-market, free-trade, laissez-faire can be beneficial, contrary to the mainstream policy paradigm as currently applied. The analysis and tests draw on empirical research from seventy countries and four extended country studies to confirm the usefulness and validity of the theoretical framework.
Author : Howard J. Shatz
Publisher : World Bank Publications
Page : 36 pages
File Size : 16,37 MB
Release : 2000
Category : Black market in foreign exchange
ISBN :
"Lessons from world experience about the consequences of exchange rate overvaluation (the frequent cause of trade crises), the consequences of trying to defend an overvalued exchange rate, and the most appropriate policies for resolving an overvaluation"--Cover.
Author : Sebastian Edwards
Publisher : Johns Hopkins University Press
Page : 110 pages
File Size : 30,28 MB
Release : 1988
Category : Business & Economics
ISBN :
This article analyzes the theory of equilibrium real exchange rates and defines misalignment as a deviation of the real exchange rate (RER) from its equilibrium level. The role of macroeconomic policies is then analyzed under three alternative nominal exchange rate regimes: predetermined nominal exchange rates; floating nominal rates; and dual or black market nominal exchange rates. This discussion points out how inconsistent macroeconomic policies often lead to real exchange rate misalignment. Corrective measures, including nominal devaluation and several alternative approaches, are then evaluated.