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Real Exchange Rate, Monetary Policy and Employment

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  • Roberto Frenkel
  • Lance Taylor

Abstract

The exchange rate affects the economy through many channels and, consequently, has diverse macroeconomic and development impacts. Five are analysed in this paper: resource allocation, economic development, finance, external balance and inflation. The use of the exchange rate as a developmental tool in conjunction with its other uses (often in coordination with monetary policy) is at the focus of the discussion.

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File URL: http://www.un.org/esa/desa/papers/2006/wp19_2006.pdf
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Bibliographic Info

Paper provided by United Nations, Department of Economics and Social Affairs in its series Working Papers with number 19.

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Length: 12 pages
Date of creation: Feb 2006
Date of revision:
Handle: RePEc:une:wpaper:19

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Web page: http://www.un.org/esa
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Keywords: exchange rate; development policy;

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  1. Codrina Rada, 2007. "A growth model for a two-sector economy with endogenous productivity," Working Papers 44, United Nations, Department of Economics and Social Affairs.
  2. Codrina Rada & Lance Taylor, 2004. "Empty Sources of Growth Accounting, and Empirical Replacements à la Kaldor with Some Beef," Economia, ANPEC - Associação Nacional dos Centros de Pósgraduação em Economia [Brazilian Association of Graduate Programs in Economics], vol. 5(3), pages 45-74.
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