Please use this identifier to cite or link to this item: http://hdl.handle.net/10419/212847
Authors: 
Ponomarenko, Alexey
Year of Publication: 
2016
Series/Report no.: 
BOFIT Discussion Papers 4/2016
Abstract: 
This paper discusses the money creation mechanisms in emerging markets with special focus on external transactions. We argue that one should not rule out the possibility that fluctuations in the loans-to-deposits and non-core liabilities ratios are driven by the banks. We also argue that, under a flexible exchange rate regime in which the central bank is not trying to accumulate foreign reserves, external transactions are unlikely to contribute significantly to money growth. To make our argument, we analyze a historical episode of these flows in Korea and Russia and conduct a canonical correlation analysis for a cross-section of emerging market economies.
JEL: 
E51
F30
G21
Persistent Identifier of the first edition: 
ISBN: 
978-952-323-095-8
Document Type: 
Working Paper

Files in This Item:
File
Size





Items in EconStor are protected by copyright, with all rights reserved, unless otherwise indicated.