Some important events and trends in recent years have intensified concerns about FD. First,
there is mounting evidence that FD has increased or remained stable despite declining …

This paper examines the case for using two instruments—the policy interest rate and
sterilized foreign exchange market intervention—in emerging market countries seeking to …

To update a famous old statistic: a political leader in a developing country is almost twice as
likely to lose office in the six months following a currency crash as otherwise. This difference …

It has long been recognized that productivity growth and the business cycle are closely
interrelated. Yet, until recently, the two phenomena have been investigated separately in the …

This paper explores the hypothesis that the dollarization of liabilities in emerging market
economies is the result of a lack of monetary credibility. I present a model in which firms …

In contrast to some recent research, this paper finds that institutional and macroeconomic
factors are related to the depth and currency composition of government bond markets …

The characteristics that distinguish most developing countries, compared to large
industrialized countries, include: greater exposure to supply shocks in general and trade …

Dollarization, in its many variants, is crucial to understanding Latin American
macroeconomics, as well as that of many developing countries. This paper builds a new …

Back in the early 1990s, economists and policy makers had high expectations about the
prospects for domestic capital market development in emerging economies, particularly in …

The characteristics that distinguish most developing countries, compared to large
industrialized countries, include: greater exposure to supply shocks in general and trade …