Review Limiting Currency Volatility to Stimulate Goods Market Integration: A Price-Based Approach (EPub)

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Limiting Currency Volatility to Stimulate Goods Market Integration: A Price-Based Approach (EPub)
By:Mr. David C. Parsley,Shang-Jin Wei
Published on 2001-12-01 by International Monetary Fund

This paper studies the effect of instrumental and institutional stabilization of exchange rate volatility on the integration of goods markets. Rather than using data on volume of trade, this paper employs a 3-dimensional panel of prices of 95 very disaggregated goods (e.g., light bulbs) in 83 cities around the world during 1990-2000. We find that the impact of an institutional stabilization-currency board or dollarization-promotes market integration far beyond an instrumental stabilization. Among them, long-term currency unions are more effective than more recent currency boards. All have room to improve relative to a U.S. benchmark.

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Book ID of Limiting Currency Volatility to Stimulate Goods Market Integration: A Price-Based Approach (EPub)'s Books is xKC_54UxneMC, Book which was written byMr. David C. Parsley,Shang-Jin Weihave ETAG "ElHh/jIZj5g"

Book which was published by International Monetary Fund since 2001-12-01 have ISBNs, ISBN 13 Code is 9781452727981 and ISBN 10 Code is 1452727988

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