1. The Macroprudential Role of International Reserves†.
- Author
-
Jeanne, Olivier
- Subjects
FOREIGN exchange reserves ,PUBLIC finance ,RESERVES (Accounting) ,FINANCIAL crises ,EMERGING markets ,CAPITAL movements ,MANAGEMENT of capital ,INTERNATIONAL banking industry - Abstract
There has been a lot of interest since the global financial crisis in policies allowing emerging market economies to smooth the effects of the global financial cycle. Although the literature has focused mostly on capital controls emerging market governments have relied mostly on international reserves management. This paper discusses the role of reserves in capital flow management based on a simple welfare-based model of capital flows with international banking frictions. [ABSTRACT FROM AUTHOR]
- Published
- 2016
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