Please use this identifier to cite or link to this item: http://hdl.handle.net/10419/75704
Authors: 
Berger, Helge
Jensen, Henrik
Schjelderup, Guttorm
Year of Publication: 
2001
Series/Report no.: 
CESifo Working Paper 468
Abstract: 
The choice of an exchange rate peg often points to a trade-off between gaining credibility and losing flexibility. We show that the flexibility loss may be reduced if domestic and foreign shocks are coorelated and more volatile. Allowing for a plausible structural change after a peg, a flexibility gain may result.
Subjects: 
Exchange rate regime choice
credibility versus flexibility
international spill-overs
imported stabilization
Document Type: 
Working Paper

Files in This Item:
File
Size





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