Managed Floating Plus
In this analysis Morris Goldstein examines currency regime choices for emerging economies that are heavily involved with private capital markets. The author argues that the best regime choice for such economies would be managed floating plus, where "plus" is shorthand for a framework that includes inflation targeting and aggressive measures to discourage currency mismatching. Goldstein argues that if managed floating were enhanced in this way, it would retain the desirable features of a flexible rate regime while addressing the nominal anchor and balance-sheet problems that have historically underpinned a "fear of floating" and handicapped the performance of managed floating in emerging economies. The author also shows why managed floating plus is superior to four alternative currency-regime options--an adjustable peg system, a "BBC (basket, band, crawl) regime," a currency board, and dollarization.
|This book is provided by Peterson Institute for International Economics in its series Peterson Institute Press: Policy Analyses in International Economics with number pa66 and published in 2002.|
|Note:||Policy Analyses in International Economics 66|
|Contact details of provider:|| Postal: 1750 Massachusetts Ave., NW, Washington, DC|
Web page: http://bookstore.piie.com/
More information through EDIRC
When requesting a correction, please mention this item's handle: RePEc:iie:piiepa:pa66. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Peterson Institute webmaster)
If references are entirely missing, you can add them using this form.