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The Case for an Intermediate Exchange Rate Regime with Endogenizing Market Structures and Capital Mobility

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  • Kaltenbrunner, Annina
  • Nissanke, Machiko

Abstract

Set in the context of the recent theoretical and policy debates on appropriate exchange rate regimes for emerging market economies in a world of free capital mobility, the paper attempts to present the case for an intermediate exchange rate regime, drawing on recent theoretical and empirical literatures on behavioural finance and currency market structures; and to examine empirically the experiences and evolution of Brazil.s foreign exchange market under different exchange rate regimes.

Suggested Citation

  • Kaltenbrunner, Annina & Nissanke, Machiko, 2009. "The Case for an Intermediate Exchange Rate Regime with Endogenizing Market Structures and Capital Mobility," WIDER Working Paper Series 029, World Institute for Development Economic Research (UNU-WIDER).
  • Handle: RePEc:unu:wpaper:rp2009-29
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    Cited by:

    1. van Waeyenberge, Elisa. & Bargawi, Hannah., 2011. "Macroeconomic policy for "full and productive employment and decent work for all" : Uganda country study," ILO Working Papers 994658733402676, International Labour Organization.

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    exchange rate management; emerging markets; Brazil;

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