Hidden Bibliographic Details
| Other authors / contributors: | Fouejieu A., Armand, (IMF staff), author.
International Monetary Fund. European Department.
|
|---|
| ISBN: | 1513586262
9781513586267
|
|---|
| ISSN: | 1018-5941
|
|---|
| Notes: | "October 2015."
"European Department."
Includes bibliographical references (pages 28-29).
Online resource; title from pdf title page (IMF.org Web site, viewed November 2, 2015).
|
|---|
| Summary: | This paper investigates the effects of the adoption of inflation targeting (IT) on the choice of exchange rate regime in emerging markets (EMs), conditional on certain macroeconomic conditions. Using a large sample of EMs and after controlling for the selection bias associated with the adoption of IT, we find that IT countries on average have a relatively more flexible exchange rate regime than other EMs. However, the flexibility of the exchange rate regime shows strong heterogeneity among IT countries depending on their degree of openness and exposure to FX risks. Moreover, we find that the marginal effect of IT adoption on the exchange rate flexibility increases with the duration of the IT regime in place, and with the propensity scores to adopt it. --Abstract.
|
|---|
| Standard no.: | 10.5089/9781513586267.001
|
|---|
