Author: Jörg Rahn Publisher: Peter Lang Publishing ISBN: Category : Business & Economics Languages : en Pages : 204
Book Description
The upcoming enlargement of the European Monetary Union involves the selection of appropriate reference rates at which the exchange rates of the accession countries will be fixed against the euro in order to avoid economic distortions as consequences of serious exchange rate misalignments. Determination of an exchange rate that is neither undervalued nor overvalued raises the issue of equilibrium exchange rates. Based on time series as well as panel estimation techniques three different concepts - BEER, PEER and PPP - are applied in this study to calculate equilibrium exchange rate levels for ten Central and Eastern European countries. The results indicate significant real misalignments in a number of accession countries.
Author: Mr.Paul R. Masson Publisher: International Monetary Fund ISBN: 1451972644 Category : Business & Economics Languages : en Pages : 26
Book Description
The more advanced Central and Eastern European Countries (CEECs) face an evolving set of considerations in choosing their exchange rate policies. On the one hand, capital mobility is increasing, and this imposes additional constraints on fixed exchange rate regimes, while trend real appreciation makes the combination of low inflation and exchange rate stability problematic. On the other hand, the objectives of EU and eventual EMU membership make attractive a peg to the euro at some stage in the transition. The paper discusses these conflicting considerations, and considers the feasibility of an alternative monetary framework, inflation targeting.
Author: Jarko Fidrmuc Publisher: ISBN: Category : Languages : en Pages : 0
Book Description
A panel data set for six Central and Eastern European countries (the Czech Republic, Hungary, Poland, Romania, Slovakia and Slovenia) is used to estimate the monetary exchange rate model with panel cointegration methods, including the Pooled Mean Group estimator, the Fully Modified Least Square estimator and the Dynamic Least Square estimator. The monetary model is able to convincingly explain the long-run dynamics of exchange rates in CEECs, particularly when this is supplemented by a Balassa-Samuelson effect. We then use our long-run monetary estimates to compute equilibrium exchange rates. Finally, we discuss the implications for the accession of selected countries to the European Economic and Monetary Union.
Author: Philippe De Lombaerde Publisher: Routledge ISBN: 1351145878 Category : Business & Economics Languages : en Pages : 389
Book Description
This book analyzes the monetary and exchange rate policies in Eastern European countries not covered by the current EU enlargement process. Specifically the book examines the major CIS countries: Belarus, Kazakhstan, Russia and the Ukraine. (The new Eastern European EU members are also frequently referenced for comparison purposes.) Current and prospective monetary policy options are considered and the applicability of the EU monetary integration experience for the CIS countries and the prospects of a monetary re-unification around the Russian Federation are assessed. This is the first book to formally deal with many of these questions.
Author: Fabrizio Coricelli Publisher: ISBN: Category : Languages : en Pages : 0
Book Description
Countries of central eastern Europe which are candidates for accession to the European Union face fundamental challenges in the conduct of macroeconomic policies. These countries are characterized by growth rates faster than those of EU countries, along with large current account deficits and an equilibrium appreciation of the real exchange rate. In such a context, an early adoption of the euro may be beneficial to central eastern European countries, while the ERM-II system and the Maastricht criterion on inflation may give rise to serious drawbacks for candidate countries.
Author: John Williamson Publisher: ISBN: Category : Currency convertibility Languages : en Pages : 488
Book Description
Analyzes the issue of convertibility of currency in an Eastern European context, reviews the history of efforts elsewhere to achieve it, and recommends preferred courses of action. In particular, it considers the relative merits of shock programmes and more gradual approaches.
Author: Ms.Ratna Sahay Publisher: International Monetary Fund ISBN: 1451847742 Category : Business & Economics Languages : en Pages : 48
Book Description
This paper examines the nature and composition of capital flows in selected countries in Central and Eastern Europe during 1987–93. The data show that there was a remarkable turnaround in the capital account in 1992–93. This improvement was accompanied by widening current account deficits, an increase in real consumption, and real exchange rate appreciation. In light of these developments, the paper discusses the main macroeconomic concerns raised by capital inflows and lays out the principal policy options relevant for the transition economies.
Author: Mr.Slavi T Slavov Publisher: International Monetary Fund ISBN: 1475590962 Category : Business & Economics Languages : en Pages : 31
Book Description
There are 13 countries in Central, Eastern and Southeastern Europe (CESEE) with floating exchange rate regimes, de jure. This paper uses the framework pioneered by Frankel and Wei (1994) and extended in Frankel and Wei (2008) to show that most of them have been tracking either the euro or the US dollar in recent years. Eight countries, all of them current or aspiring EU members, track the euro. Of the five countries keying on the US dollar in various degrees, all but one belong to the Commonwealth of Independent States. The paper shows that the extent to which each country’s currency tracks the euro (or the dollar) is correlated with the structure of its external trade and finance. However, some countries appear to track the EUR or USD to an extent which appears inconsistent with inflation targeting, trade or financial integration, or the extent of business cycle synchronization. The phenomenon is particularly pronounced among the countries in the CESEE euro bloc, which may be deliberately gravitating around the euro in anticipation of eventually joining the Euro Area.
Author: John Williamson Publisher: ISBN: Category : Political Science Languages : en Pages : 122
Book Description
This analysis comprises the final chapter of Currency Convertibility in Eastern Europe by John Williamson. That chapter rounded off and summed up a critique of how currency convertibility has worked in Eastern Europe and how it may work in the future.
Author: Jörg Rahn
Author: Mr.Paul R. Masson
Author: Jarko Fidrmuc
Author: Philippe De Lombaerde
Author: Fabrizio Coricelli
Author: Peter Bofinger
Author: John Williamson
Author: Ms.Ratna Sahay
Author: Mr.Slavi T Slavov
Author: John Williamson