Does the Exchange Regime Matter for inflation and Growth?

Although the theoretical relationships are ambiguous, evidence suggestsa strong link between the choice of the exchange rate regime and economicperformance. The paper argues that adopting a pegged exchange rate canlead to lower inflation, but also to slower growth in productivity. Itfinds that on av...

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Bibliographic Details
Corporate Author: International Monetary Fund
Format: eBook
Language:English
Published: Washington, D.C. International Monetary Fund 1996
Series:Economic Issues
Subjects:
Online Access:
Collection: International Monetary Fund - Collection details see MPG.ReNa
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300 |a 19 pages 
653 |a Inflation 
653 |a Exchange rate arrangements 
653 |a Deflation 
653 |a Currency 
653 |a Floating exchange rates 
653 |a Price Level 
653 |a Foreign Exchange 
653 |a Conventional peg 
653 |a Prices 
653 |a Macroeconomics 
653 |a Exchange rates 
653 |a Foreign exchange 
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520 |a Although the theoretical relationships are ambiguous, evidence suggestsa strong link between the choice of the exchange rate regime and economicperformance. The paper argues that adopting a pegged exchange rate canlead to lower inflation, but also to slower growth in productivity. Itfinds that on average per capita GDP growth was slightly faster underfloating regimes than under pegged exchange regimes