IDEAS home Printed from https://ideas.repec.org/h/pal/palchp/978-1-349-05166-3_5.html
   My bibliography  Save this book chapter

Purchasing Power Parity as a Rule for a Crawling Peg

In: Exchange Rate Rules

Author

Listed:
  • Hans Genberg

Abstract

Purchasing power parity calculations can go a long way towards accounting for longer term movements in exchange rates. This fact has led to suggestions that purchasing power parity (hereafter PPP) be used as a measure of the long-run equilibrium level of exchange rates and, furthermore, that central banks manage exchange rates in such a way as to remove much of the observed short-run fluctuation around PPP. A particular version of such a policy would be the adoption of a crawling peg where the rate of crawl is determined to a large extent by PPP calculations. This paper analyses the desirability and likely success of such a policy.

Suggested Citation

  • Hans Genberg, 1981. "Purchasing Power Parity as a Rule for a Crawling Peg," Palgrave Macmillan Books, in: John Williamson (ed.), Exchange Rate Rules, chapter 4, pages 88-110, Palgrave Macmillan.
    • Handle: RePEc:pal:palchp:978-1-349-05166-3_5
    DOI: 10.1007/978-1-349-05166-3_5
    as

    Download full text from publisher

    To our knowledge, this item is not available for download. To find whether it is available, there are three options:
    1. Check below whether another version of this item is available online.
    2. Check on the provider's web page whether it is in fact available.
    3. Perform a search for a similarly titled item that would be available.

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Martina Metzger, 1999. "A Never Ending Story: Developing Countries' Choice of an Exchange Rate Anchor," Vierteljahrshefte zur Wirtschaftsforschung / Quarterly Journal of Economic Research, DIW Berlin, German Institute for Economic Research, vol. 68(1), pages 86-93.
    2. Bouoiyour, Jamal & Rey, Serge, 1995. "Chocs externes et ajustements des taux de change réels européens [External shocks and adjustment of European real exchange rates]," MPRA Paper 30241, University Library of Munich, Germany.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:pal:palchp:978-1-349-05166-3_5. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Sonal Shukla or Springer Nature Abstracting and Indexing (email available below). General contact details of provider: http://www.palgrave.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.