Dollarization - 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 Dollarization write by Eduardo Levy Yeyati. This book was released on 2003. Dollarization available in PDF, EPUB and Kindle. Theoretical and empirical analysis of de jure dollarization. With the persistent instability of international financial markets, emerging economies are exploring new ways to reduce exposure to capital flow volatility. Some analysts argue that financially open economies are best served by more flexible regimes, while others argue in favor of extreme exchange rate regimes that have a strong commitment to a fixed parity or dispense with an independent currency. The successful launch of the euro has made more realistic the prospect of replacing a national currency with a strong foreign one. Recent examples include the adoption of the US dollar by Ecuador and El Salvador. The introduction of a foreign currency as sole legal tender, termed full (de jure) dollarization, has been the center of much political and academic debate. This book provides a comprehensive analysis of the issues from both theoretical and empirical perspectives. The topics discussed include the role of balance sheet effects, the linkage between currency risk and country risk, the impact of dollarization on trade, financial integration and credibility, the implications of dollarization for the lender of last resort, and the institutional and political economy aspects of dollarization.
Dollarization of the Banking System
Dollarization of the Banking System - 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 Dollarization of the Banking System write by Gianni De Nicoló. This book was released on 2003. Dollarization of the Banking System available in PDF, EPUB and Kindle.
Financial Dollarization
Financial Dollarization - 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 Financial Dollarization write by A. Armas. This book was released on 2006-07-14. Financial Dollarization available in PDF, EPUB and Kindle. This volume provides a rigorous and balanced perspective on the causes and implications of dollarization, and the basic policies and options to deal with it: the adaptation of the monetary and prudential frameworks, the development of local-currency substitutes, and the scope for limiting dollarization through administrative restrictions.
Financial Dollarization of Households and Firms: Does It Differ?
Financial Dollarization of Households and Firms: Does It Differ? - 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 Financial Dollarization of Households and Firms: Does It Differ? write by Mr.Juan S Corrales. This book was released on 2019-01-22. Financial Dollarization of Households and Firms: Does It Differ? available in PDF, EPUB and Kindle. Using a newly complied and extended database from International Financial Statistics, and applying different panel-regression techniques, this paper documents the evolution of households’ and firms’ dollarization over the past decade. We assess the macroeconomic determinants of dollarization for households and firms and explore differences between high and low-income countries. We find that households’ and firms’ dollarization in loans and deposits are weakly explained by the currency substitution model, except in low income countries, where inflation plays a significant role. Instead, market development variables such as financial deepening, access to external debt and FX finance as well as other market considerations are key to explain the dynamics of deposits and loans dollarization, regardless of the level of income.These factors can account for a significant fraction of the dollarization, but using a variance decomposition model, there is evidence that a non-negligible portion has yet to be explained. This suggests that there are key determinants for household and firm dollarization that are not fully captured by traditional macroeconomic explanatory variables.
Dollarization and Financial Development
Dollarization and Financial Development - 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 Dollarization and Financial Development write by Mr.Geoffrey J Bannister. This book was released on 2018-09-11. Dollarization and Financial Development available in PDF, EPUB and Kindle. Despite significant strides in financial development over the past decades, financial dollarization, as reflected in elevated shares of foreign currency deposits and credit in the banking system, remains common in developing economies. We study the impact of financial dollarization, differentiating across foreign currency deposits and credit on financial depth, access and efficiency for a large sample of emerging market and developing countries over the past two decades. Panel regressions estimated using system GMM show that deposit dollarization has a negative impact on financial deepening on average. This negative impact is dampened in cases with past periods of high inflation. There is also some evidence that dollarization hampers financial efficiency. The results suggest that policy efforts to reduce dollarization can spur faster and safer financial development.
