How Effective Are Capital Controls in Asia?
AbstractThis study examines the effects of capital account restrictions on capital flows in nine emerging Asian economies using panel regressions with 75 economies and fixed effects over the period 1995–2007. The results show that effectiveness of capital controls in the nine emerging Asian economies varies by asset type and by direction of flow and may differ from that in the rest of the world. For example, unlike in the rest of the world, the use of controls on capital outflows in emerging Asia actually increases the amount of these outflows. This finding suggests that it may be best for emerging market economies in Asia to liberalize rather than constrain capital outflows if they want to prevent such outflows. © 2012 The Earth Institute at Columbia University and the Massachusetts Institute of Technology.
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Bibliographic InfoArticle provided by MIT Press in its journal Asian Economic Papers.
Volume (Year): 11 (2012)
Issue (Month): 2 (June)
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Web page: http://mitpress.mit.edu/journals/
Other versions of this item:
- F21 - International Economics - - International Factor Movements and International Business - - - International Investment; Long-Term Capital Movements
- F32 - International Economics - - International Finance - - - Current Account Adjustment; Short-term Capital Movements
- F36 - International Economics - - International Finance - - - Financial Aspects of Economic Integration
- F41 - International Economics - - Macroeconomic Aspects of International Trade and Finance - - - Open Economy Macroeconomics
- G15 - Financial Economics - - General Financial Markets - - - International Financial Markets
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.:
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- Pierre-Richard Agénor & Luiz A. Pereira da Silva, 2013. "Inflation Targeting and Financial Stability: A Perspective from the Developing World," Working Papers Series 324, Central Bank of Brazil, Research Department.
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