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Open-Economy Macroeconomics: Developments in Theory and Policy Author info | Abstract | Publisher info | Download info | Related research | Statistics Obstfeld, Maurice
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This paper views developments in open-economy macroeconomics through the lens of the debate over European monetary unification. The empirical tendency for nominal exchange rate regimes to affect the variability of nominal and real exchange rates alike can be rationalized by sticky-price theories or models of asset-market liquidity effects. But plausible liquidity models have difficulty generating enough persistence to match the data. Thus, the macroeconomic stabilization costs of forgoing the exchange-rate realignment option seem pertinent. It is argued that the theories of efficiencies due to a common currency remain unsatisfactory, despite recent advances. The paper concludes by reviewing theories of currency crisis. Copyright 1998 by The editors of the Scandinavian Journal of Economics.
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Article provided by Blackwell Publishing in its journal Scandinavian Journal of Economics .
Volume (Year): 100 (1998)
Issue (Month): 1 (March)
Pages: 247-75
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Handle: RePEc:bla:scandj:v:100:y:1998:i:1:p:247-75Contact details of provider: Web page: http://www.blackwellpublishing.com/journal.asp?ref=0347-0520
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References listed on IDEAS Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile , click on "citations" and make appropriate adjustments.: Romer, David, 1987.
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Benigno, Gianluca & Benigno, Pierpaolo, 2001.
"Monetary Policy Rules and the Exchange Rate ,"
CEPR Discussion Papers
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"Risk and Exchange Rates ,"
NBER Working Papers
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Michael Devereux & Charles Engel, 2000.
"Monetary Policy in the Open Economy Revisited: Price Setting and Exchange Rate Flexibiity ,"
Discussion Papers in Economics at the University of Washington
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[Downloadable!] (restricted) Michael Devereux & Charles Engel, 2000.
"Monetary Policy in the Open Economy Revisited: Price Setting and Exchange Rate Flexibiity ,"
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"Monetary Policy in the Open Economy Revisited: Price Setting and Exchange-Rate Flexibility ,"
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[Downloadable!] (restricted) Allen Head & Shouyong Shi, 2002.
"A Fundamental Theory of Exchange Rates and Direct Currency Trades ,"
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Allen Head & Shouyong Shi, 2000.
"A Fundamental Theory of Exchange Rates and Direct Currency Trades ,"
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Head, Allen & Shi, Shouyong, 2003.
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[Downloadable!] (restricted) Sebastian Edwards, 1999.
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"New Directions for Stochastic Open Economy Models ,"
NBER Working Papers
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[Downloadable!] Maurice Obstfeld & Kenneth Rogoff, 1999.
"New Directions for Stochastic Open Economy Models ,"
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[Downloadable!] Maurice Obstfeld and Kenneth Rogoff., 1999.
"New Directions for Stochastic Open Economy Models ,"
Center for International and Development Economics Research (CIDER) Working Papers
C99-107, University of California at Berkeley.
[Downloadable!] Obstfeld, Maurice & Rogoff, Kenneth, 2000.
"New directions for stochastic open economy models ,"
Journal of International Economics ,
Elsevier, vol. 50(1), pages 117-153, February.
[Downloadable!] (restricted) Amil Dasgupta, 2000.
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Qing Liu & Shouyong Shi, 2006.
"Currency Areas and Monetary Coordination ,"
Working Papers
tecipa-226, University of Toronto, Department of Economics.
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Other versions: Frank Barry, 2001.
"Openness, the Phillips Curve and the Cost of Relinquishing the Currency ,"
Working Papers
200105, School Of Economics, University College Dublin.
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Maurice Obstfeld & Alan M. Taylor, 1997.
"Nonlinear Aspects of Goods-Market Arbitrage and Adjustment: Heckscher's Commodity Points Revisited ,"
NBER Working Papers
6053, National Bureau of Economic Research, Inc.
[Downloadable!] (restricted)
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Maurice Obstfeld and Alan M. Taylor., 1997.
"Nonlinear Aspects of Goods-Market Arbitrage and Adjustment: Heckscher's Commodity Points Revisited ,"
Center for International and Development Economics Research (CIDER) Working Papers
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1672, C.E.P.R. Discussion Papers.
[Downloadable!] (restricted) Obstfeld, Maurice & Taylor, Alan M., 1997.
"Nonlinear Aspects of Goods-Market Arbitrage and Adjustment: Heckscher's Commodity Points Revisited ,"
Journal of the Japanese and International Economies ,
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[Downloadable!] (restricted) Devereux, Michael B & Engel, Charles M, 2000.
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2454, C.E.P.R. Discussion Papers.
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Fernando Alvarez & Andrew Atkeson & Patrick J. Kehoe, 2005.
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