session11 - Session 11 Global Money & Policy Gold...

Info iconThis preview shows pages 1–11. Sign up to view the full content.

View Full Document Right Arrow Icon
Session 11 Global Money & Policy
Background image of page 1

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
2 Gold Standard Main features Advantages Practical problems Inherent flaws
Background image of page 2
3 Bretton Woods Avoiding depression Gold exchange standard IMF functions Theory vs practice
Background image of page 3

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
4 Floating 1970s Mounting problems inflation global growth Vietnam Great Society Suspension of convertibility Devalued dollar European integration Werner report “Snake”
Background image of page 4
5 Fixed Floating flexible policy independence credibility stability Capital flows Market failures Crisis
Background image of page 5

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
6 Fixed rate regimes Free capital flows Dangerous brew! Hard pegs monetary unions dollarization currency boards Restricting capital flows
Background image of page 6
7 Selected Crises 1979 2 nd oil price shock 1982 LatAm debt crises 1992 ERM crisis 1994 Mexican peso crisis 1997 Asian currency crisis 1998 Russia defaults 1999 Brazilian real crisis 2001 Argentina defaults Politics Stagnation Inflation Debt Contagion
Background image of page 7

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
8 Mexico Source: BIS exchange rate database 50 100 150 200 250 300 350 94 96 98 00 02 04 06 08 10 Mexico Effective Exchange Rate Nominal Real Monthly averages 2005=100
Background image of page 8
9 Asian Currency Crisis Source: BIS exchange rate database 0 20 40 60 80 100 120 94 96 98 00 02 04 06 08 10 Nominal Effective Exchange Rates rebased Jan 1997=100 Thailand Malaysia Korea Indonesia
Background image of page 9

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
Brazil Source: BIS exchange rate database
Background image of page 10
Image of page 11
This is the end of the preview. Sign up to access the rest of the document.

Page1 / 31

session11 - Session 11 Global Money & Policy Gold...

This preview shows document pages 1 - 11. Sign up to view the full document.

View Full Document Right Arrow Icon
Ask a homework question - tutors are online