Estimated Policy Rules for Capital Controls

Estimated Policy Rules for Capital Controls
Author :
Publisher : International Monetary Fund
Total Pages : 60
Release :
ISBN-10 : 9781513546100
ISBN-13 : 1513546104
Rating : 4/5 (104 Downloads)

Book Synopsis Estimated Policy Rules for Capital Controls by : Gurnain Kaur Pasricha

Download or read book Estimated Policy Rules for Capital Controls written by Gurnain Kaur Pasricha and published by International Monetary Fund. This book was released on 2020-06-05 with total page 60 pages. Available in PDF, EPUB and Kindle. Book excerpt: This paper borrows the tradition of estimating policy reaction functions from monetary policy literature to ask whether capital controls respond to macroprudential or mercantilist motivations. I explore this question using a novel, weekly dataset on capital control actions in 21 emerging economies from 2001 to 2015. I introduce a new proxy for mercantilist motivations: the weighted appreciation of an emerging-market currency against its top five trade competitors. This proxy Granger causes future net initiations of non-tariff barriers in most countries. Emerging markets systematically respond to both mercantilist and macroprudential motivations. Policymakers respond to trade competitiveness concerns by using both instruments—inflow tightening and outflow easing. They use only inflow tightening in response to macroprudential concerns. Policy is acyclical to foreign debt; however, high levels of this debt reduces countercyclicality to mercantilist concerns. Higher exchange rate pass-through to export prices, and having an inflation targeting regime with non-freely floating exchange rates, increase responsiveness to mercantilist concerns.


Estimated Policy Rules for Capital Controls Related Books

Estimated Policy Rules for Capital Controls
Language: en
Pages: 60
Authors: Gurnain Kaur Pasricha
Categories: Business & Economics
Type: BOOK - Published: 2020-06-05 - Publisher: International Monetary Fund

DOWNLOAD EBOOK

This paper borrows the tradition of estimating policy reaction functions from monetary policy literature to ask whether capital controls respond to macroprudent
Capital Flight and Capital Controls in Developing Countries
Language: en
Pages: 368
Authors: Gerald A. Epstein
Categories: Capital movements
Type: BOOK - Published: 2005 - Publisher: Edward Elgar Publishing

DOWNLOAD EBOOK

Epstein (economics, U. of Massachusetts) and colleagues look at connections between financial liberalization, financial crises, and capital flight in the 1980s
Capital Control Measures
Language: en
Pages: 32
Authors: Andrés Fernández
Categories: Business & Economics
Type: BOOK - Published: 2015-04-22 - Publisher: International Monetary Fund

DOWNLOAD EBOOK

This paper presents a new dataset of capital control restrictions on both inflows and outflows of 10 categories of assets for 100 countries over the period 1995
Capital Controls
Language: en
Pages: 135
Authors: Ms.Inci Ötker
Categories: Business & Economics
Type: BOOK - Published: 2000-05-17 - Publisher: International Monetary Fund

DOWNLOAD EBOOK

This paper examines country experiences with the use and liberalization of capital controls to develop a deeper understanding of the role of capital controls in
Capital Ideas
Language: en
Pages: 332
Authors: Jeffrey M. Chwieroth
Categories: Business & Economics
Type: BOOK - Published: 2009-12-14 - Publisher: Princeton University Press

DOWNLOAD EBOOK

The right of governments to employ capital controls has always been the official orthodoxy of the International Monetary Fund, and the organization's formal rul