Hidden Bibliographic Details
| Other authors / contributors: | International Monetary Fund. Western Hemisphere Department.
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| ISBN: | 1451890257
9781451890259
128160321X
9781281603210
9781451841879
1451841876
1462304702
9781462304707
9786613783905
6613783900
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| Notes: | Includes bibliographical references (page 18).
Restrictions unspecified
Electronic reproduction. [Place of publication not identified] : HathiTrust Digital Library, 2010.
Master and use copy. Digital master created according to Benchmark for Faithful Digital Reproductions of Monographs and Serials, Version 1. Digital Library Federation, December 2002. http://purl.oclc.org/DLF/benchrepro0212
English.
digitized 2010 HathiTrust Digital Library committed to preserve
Print version record.
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| Summary: | Annotation Complementing the explanation provided by Calvo and Vegh (1994) for money-based stabilization programs, exchange rate uncertainty introduced to a particular version of the portfolio approach with imperfect competition in the banking system leads to a bias toward appreciation that is directly related to the divergence of expectations and that dampens the interaction between portfolio movements and the real exchange rate. Based on Frankel-Froot, uncertainty exists when the fundamental equilibrium real exchange rate is temporarily unknown in a foreign exchange market with two types of agents: parity-guessers, who expect a jump to a reference parity level, and money-followers, who expect nominal depreciation equal to the monetary rule.
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| Other form: | Print version: Morales, R. Armando. Exchange rate uncertainty in money-based stabilization programs. [Washington, D.C.] : International Monetary Fund, Western Hemisphere Dept., ©1998
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| Standard no.: | 10.5089/9781451890259.001
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