Current Accounts in a Currency Union - read free eBook in online reader or directly download on the web page. Select files or add your book in reader. Download and read online ebook Current Accounts in a Currency Union write by Mr.Emil Stavrev. This book was released on 2009-06-01. Current Accounts in a Currency Union available in PDF, EPUB and Kindle. A fear about EMU was that in the absence of national currencies, country-specific shocks would result in greater current account divergences between member states. This paper finds that divergences across euro-area countries are smaller and have not risen relative to those across 13 other advanced economies with more flexible exchange rates. Also, the size of country-specific current account shocks in EMU countries is smaller and their persistence is greater than in the other advanced economies. However, these differences in current account dynamics do not appear related to different exchange rate dynamics.
IMF Working Papers
IMF Working Papers - read free eBook in online reader or directly download on the web page. Select files or add your book in reader. Download and read online ebook IMF Working Papers write by Emil Stavrev. This book was released on 2009. IMF Working Papers available in PDF, EPUB and Kindle.
Monetary Unions and Hard Pegs
Monetary Unions and Hard Pegs - read free eBook in online reader or directly download on the web page. Select files or add your book in reader. Download and read online ebook Monetary Unions and Hard Pegs write by George M. von Furstenberg. This book was released on 2004-03-25. Monetary Unions and Hard Pegs available in PDF, EPUB and Kindle. Financial services with global reach are becoming ever more important in the conduct and organization of the trade and investment of nations, and currencies that lack international standing lose out in this business. The result of financial development has been destabilizing currency and portfolio substitution -- in favour of international currencies and against local ones.This book analyses formal approaches to overcoming monetary divisions within countries and within integrating regions, focusing on the consequences of monetary union for trade among union members and their financial development and stability. The authors discuss hard pegs such as those attempted by the currency board of Argentina, outright dollarization, such as in Ecuador, and multilateral monetary union, as in Europe, the least reversible form of monetary union and the most powerful elixir offinancial integration and trade.The political classes and central banks in most countries have been reluctant to admit the market- and technology-driven forces of currency consolidation, much less yield to them. International financial institutions too are still in the habit of proffering advice about national monetary and exchange-rate policies on the assumption that getting rid of both is not even an option. Emerging-market countries, in particular, have to choose between retaining what independent monetary means they stillhave -- and can safely use in the presence of widespread liability dollarization and currency mismatches -- and formally replacing the domestic with an international currency to reduce exposure to debilitating financial crises. In concrete investigations of this choice, this volume shows thatmonetary union deserves a much more sympathetic hearing.
A Currency Union for the Caribbean
A Currency Union for the Caribbean - read free eBook in online reader or directly download on the web page. Select files or add your book in reader. Download and read online ebook A Currency Union for the Caribbean write by Mr.Rupert Worrell. This book was released on 2003-02-01. A Currency Union for the Caribbean available in PDF, EPUB and Kindle. The experiences of Caribbean Economic Community countries show that exchange rate depreciation in these countries is inflationary, and that, while changes in the relative prices of tradables may affect exports, tourism, and imports, nominal exchange rate changes have no predictable effect on those relative prices. Under these circumstances, economic literature indicates that a fixed exchange rate regime is optimal, and Caribbean countries with (quasi-) currency boards have been successful in maintaining durable exchange rate pegs. Commitment to a currency board is a potentially vital step in achieving a currency union for the Caribbean.
Current Account Imbalances in the Southern Euro Area
Current Account Imbalances in the Southern Euro Area - read free eBook in online reader or directly download on the web page. Select files or add your book in reader. Download and read online ebook Current Account Imbalances in the Southern Euro Area write by Piyaporn Sodsriwiboon. This book was released on 2010-06-01. Current Account Imbalances in the Southern Euro Area available in PDF, EPUB and Kindle. The paper examines the causes, consequences, and potential cures of the large current account deficits in the Southern Euro Area (SEA). These were mostly driven by a decline in private saving rates. But it was the European Monetary Union and the Euro, which enabled these countries to maintain investment rates, and thus run larger current account deficits, by improving their access to the international pool of saving. The paper finds that the deficits in SEA in 2008 were larger than can be explained by fundamentals, though the situation varies substantially across countries. It also finds that although the global financial crisis has started to force some unwinding, the current account deficits are expected to remain high in the medium run, though again with substantial variation across countries. The paper argues these large external deficits pose risks to the economy and therefore matter, even in a currency union, and discusses some policy options to reduce them.
