The Impact of Controlson Capital Movementson the Private Capital Accounts of Countries' Balance of Payments Empirical Estimates and Policy Implications

This paper reports research on the impact of controls on capital movements on the private capital accounts of countries’ balance of payments using data drawn from 52 countries for the period 1985-92. The results indicate that: (1) capital controls operated by developing countries have not been effec...

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Bibliographic Details
Main Author: Johnston, R.
Other Authors: Ryan, Chris
Format: eBook
Language:English
Published: Washington, D.C. International Monetary Fund 1994
Series:IMF Working Papers
Subjects:
Online Access:
Collection: International Monetary Fund - Collection details see MPG.ReNa
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300 |a 46 pages 
651 4 |a United States 
653 |a International Monetary Arrangements and Institutions 
653 |a Short-term Capital Movements 
653 |a Current Account Adjustment 
653 |a Balance of payments 
653 |a Long-term Capital Movements 
653 |a Currency 
653 |a Exports and Imports 
653 |a Capital account 
653 |a International economics 
653 |a Foreign Exchange 
653 |a Capital flows 
653 |a Capital controls 
653 |a Capital outflows 
653 |a Capital movements 
653 |a Foreign exchange 
653 |a International Investment 
653 |a Exchange restrictions 
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520 |a This paper reports research on the impact of controls on capital movements on the private capital accounts of countries’ balance of payments using data drawn from 52 countries for the period 1985-92. The results indicate that: (1) capital controls operated by developing countries have not been effective in insulating the private capital accounts of these countries’ balance of payments, and (2) capital controls operated by industrial countries significantly affected the structure of their capital flows mainly by inhibiting net foreign direct and portfolio investment outflows. The results, which are consistent with other observations, raise issues for the policy toward the maintenance and liberalization of controls on capital movements by developing countries