Financial Market Integration and Exchange Rate Policy /

This paper examines how a country's exchange rate policy should be adjusted when the degree of integration between domestic and external financial markets increases as a result of both domestic financial liberalization and the relaxation of capital controls. As the financial structure is opened...

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Bibliografiska uppgifter
Huvudupphovsman: Rojas-Suarez, Liliana
Övriga upphovsmän: Mathieson, Donald
Materialtyp: Tidskrift
Språk:English
Publicerad: Washington, D.C. : International Monetary Fund, 1990.
Serie:IMF Working Papers; Working Paper ; No. 1990/002
Länkar:Full text available on IMF
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100 1 |a Rojas-Suarez, Liliana. 
245 1 0 |a Financial Market Integration and Exchange Rate Policy /  |c Liliana Rojas-Suarez, Donald Mathieson. 
264 1 |a Washington, D.C. :  |b International Monetary Fund,  |c 1990. 
300 |a 1 online resource (66 pages) 
490 1 |a IMF Working Papers 
500 |a <strong>Off-Campus Access:</strong> No User ID or Password Required 
500 |a <strong>On-Campus Access:</strong> No User ID or Password Required 
506 |a Electronic access restricted to authorized BRAC University faculty, staff and students 
520 3 |a This paper examines how a country's exchange rate policy should be adjusted when the degree of integration between domestic and external financial markets increases as a result of both domestic financial liberalization and the relaxation of capital controls. As the financial structure is opened and liberalized, the optimal scale of exchange market intervention changes as the relative importance of different domestic and foreign shocks for output and price stability is altered. Nonetheless, the response of the optimal degree of intervention to increases in the variances of the various domestic and foreign shocks is similar across all financial structures. 
538 |a Mode of access: Internet 
700 1 |a Mathieson, Donald. 
830 0 |a IMF Working Papers; Working Paper ;  |v No. 1990/002 
856 4 0 |z Full text available on IMF  |u http://elibrary.imf.org/view/journals/001/1990/002/001.1990.issue-002-en.xml  |z IMF e-Library