Capital Mobility and Monetary Policy in Colombia.

This paper estimates a model of financial markets in Colombia to examine: 1) the authorities' control over domestic interest rates and the money stock; and 2) the effects of the crawling peg exchange rate policy on exchange rate expectations and domestic interest rates. The authorities appeared...

Fuld beskrivelse

Bibliografiske detaljer
Institution som forfatter: International Monetary Fund
Format: Tidsskrift
Sprog:English
Udgivet: Washington, D.C. : International Monetary Fund, 1988.
Serier:IMF Working Papers; Working Paper ; No. 1988/077
Online adgang:Full text available on IMF
Beskrivelse
Summary:This paper estimates a model of financial markets in Colombia to examine: 1) the authorities' control over domestic interest rates and the money stock; and 2) the effects of the crawling peg exchange rate policy on exchange rate expectations and domestic interest rates. The authorities appeared to possess some control over the money stock in the short run, mostly because of the existence of capital controls, but most of this control was eroded once asset demands adjust to their desired banks. The expected rate of depreciation is not closely linked to the crawling peg.
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Fysisk beskrivelse:1 online resource (38 pages)
Format:Mode of access: Internet
ISSN:1018-5941
Adgang:Electronic access restricted to authorized BRAC University faculty, staff and students