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Stabilization policies in developing countries with a parallel market for foreign exchange : a formal framework.

By: Material type: TextTextPublication details: 1990Action note:
  • 3/7/00 M2LMGR
Summary: Develops a model which incorporates trade and capital restrictions, illegal transactions, a parallel foreign exchange market, currency substitution features and forward-looking rational expectations. Uses this model to examine the implications of the existence of illegal trade transactions and parallel currency markets for short-run policy making in developing countries.
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Develops a model which incorporates trade and capital restrictions, illegal transactions, a parallel foreign exchange market, currency substitution features and forward-looking rational expectations. Uses this model to examine the implications of the existence of illegal trade transactions and parallel currency markets for short-run policy making in developing countries.

3/7/00 M2LMGR

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