Institutional development and the choice of exchange rate regime: A cross-country analysis

Journal of the Japanese and International Economies

Volumn 23, Issue 1, 2009, Pages 56-70

  Hossain, Monzur ^a  

^a Bangladesh Institute of Development Studies   (Bangladesh)

Author keywords

De jure and de facto exchange rate regime; Divergence; Financial development; Learning

Indexed keywords

EID: 61349137534     PISSN: 08891583     EISSN: None     Source Type: Journal    
DOI: 10.1016/j.jjie.2008.12.001     Document Type: Article

References (44)

1. Abiad A., and Mody A. Financial reform: What shakes it? What shapes it?. Amer. Econ. Rev. 95 (2005) 1. http://www.aeaweb.org/aer/contents/mar2005.html Data set is available through American Economic Review Website:
2. Abiad, Abdul, Oomes, N., Ueda, K., 2004. The quality effect: Does financial liberalization improve the allocation of capital? IMF Working Paper, 112
3. Alesina A. Inflation, unemployment, and politics in industrial democracies. Econ. Pol. 8 (1989) 55-98
4. Alesina A., and Rosenthal H. Partisan Politics, Divided Government, and the Economy (1995), Cambridge University Press, Cambridge
5. Alesina A., and Sachs J. Political parties and the business cycle in the United States: 1948-1984. J. Money, Credit, Banking 20 1 (1988) 63-82
6. Alesina A., and Wagner A. Choosing (and reneging on) exchange rate regimes. J. Europ. Econ. Assoc. 4 (2006) 770-799
7. Bacchetta P. Liberalization of capital movements and of the domestic financial system. Economica 59 (1992) 465-474
8. Baxter M., and Stockman A. Business cycles and the exchange-rate regime: Some international evidence. J. Monet. Econ. 23 (1989) 377-400
9. Beck T., Clarke G., Groff A., Keefer P., and Walsh P. New tools in comparative political economy: The database of political institutions. World Bank Econ. Rev. 15 1 (2001) 165-176
10. Bernhard W., and Leblang D. Democratic institutions and exchange-rate commitments. Int. Organ. 53 1 (1999) 71-97
11. Bernhard W., Broz J.L., and Clark W.R. The political economy of monetary institutions. Int. Organ. 56 4 (2002) 693-723
12. Bubula, Andrea, Ötker-Robe, I., 2002. The evolution of exchange rate regimes since 1990: Evidence from de facto policies. IMF Working Paper, 02/155
13. Calvo G. Comment on Sachs, Tornell and Velasco. Brookings Pap. Econ. Act. 1 (1996) 199-203
14. Calvo G.A., and Reinhart C.M. Fear of floating. Quart. J. Econ. CXVII 2 (2002)
15. Dreyer J.S. Determinants of exchange rate regimes for currencies of developing countries: Some preliminary results. World Devel. 6 (1978) 437-445
16. Eichengreen B. Should the Maastricht Treaty be Saved?. Princeton Studies in International Finance vol. 74 (1992), Princeton University, Princeton, NJ
17. Eichengreen, Barry, Hausman, R., 1999. Exchange rates and financial fragility. NBER Working Paper, 7418, Cambridge, MA
18. Genberg, H., Swoboda, Alexander K., 2005. Exchange rate regimes: Does what countries say matter? IMF Staff Papers 52
19. Ghosh A., Gulde A.-M., and Wolf H. Exchange Rate Regimes: Choices and Consequences (2002), MIT Press
20. Greene W.H. Econometrics Analysis. 4th edition (2000), Prentice Hall
21. Hallerberg M. Veto players and the choice of monetary institutions. Int. Organ. 56 4 (2002) 775-802
22. Heller H.R. Determinants of exchange rate practices. J. Money, Credit, Banking 10 (1978) 308-321
23. Hernandez L., and Montiel P. Post-crisis exchange rate policy in five Asian countries: Filling in the "Hollow Middle"?. J. Japanese Int. Economies 17 3 (2003) 336-369
24. Hossain, M., forthcoming. Divergence from De jure Currency Regime: A Stochastic Process of Learning, Applied Financial Economics Letters, Taylor & Francis, UK, 2008, doi:10.1080/17446540802277146
25. Juhn, Grace S., Mauro, Paolo, 2002. Long-run determinants of exchange rate regimes: A simple sensitivity analysis. IMF Working Paper 02/104
26. Keech W. Economic Politics: The Costs of Democracy (1995), Cambridge University Press, Cambridge
27. Keefer P., and Stasavage D. Checks and balances, private information, and the credibility of monetary commitments. Int. Organ. 56 4 (2002) 751-774
28. Krugman P. A model of balance-of-payment crises. J. Money, Credit, Banking 11 (1979) 311-325
29. Levy-Yeyati, Eduardo, Sturzenegar, F., 2002. Classifying exchange rate regimes: Deeds versus words. Universidad Torcuato Di Tella. Available via the internet at: http://www.utdt.edu/~fsturzen
30. Lijphart A. Democracies (1984), Yale University Press, New Haven
31. Mckinnon R. Optimum currency areas. Amer. Econ. Rev. 53 (1963) 717-725
32. Melvin M. The choice of an exchange rate system and macroeconomic stability. J. Money, Credit, Banking 17 4 (1985) 467-478
33. Mundell R. A theory of optimal currency areas. Amer. Econ. Rev. 51 (1961) 657-665
34. Nordhaus W.D. Alternative approaches to the political business cycle. Brookings Pap. Econ. Act. 2 (1989) 1-68
35. Poirson, H., 2001. How do countries choose their exchange rate regime? IMF Working Paper, Wp/01/46
36. Reinhart C.M., and Rogoff K. The modern history of exchange rate arrangements: A reinterpretation. Quart. J. Econ. 119 (2004) 1-48
37. Rogoff, K.S., Husain, Aasim M., Mody, A., Brooks, R., Oomes, N., 2003. Evolution and performance of exchange rate regimes. IMF Working Paper, Wp/03/243
38. Roubini N., and Sachs J. Political and economic determinants of budget deficits in the industrial democracies. Europ. Econ. Rev. 33 (1989) 903-938
39. Salant S.W., and Henderson D.W. Market anticipations of government policies and price of gold. J. Polit. Econ. 86 4 (1978) 627-648
40. Savvides A. Real exchange rate variability and the choice of exchange rate regime by developing countries. J. Int. Money Finance 9 (1990) 440-454
41. Simmons B.A. Who Adjusts? Domestic Sources of Foreign Economic Policy During the Interwar Years, 1924-1939 (1994), Princeton University Press, Princeton, NJ
42. Simmons B.A., and Elkins Z. The globalization of liberalization: Policy diffusion in the international political economy. Amer. Polit. Sci. Rev. 98 1 (2004) 171-189
43. Von Hagen J., and Zhou J. The choice of exchange rate regime: An empirical analysis for transition economies. Econ. Transition 13 4 (2005) 679-703
44. Williamson, J., 2000. Exchange rate regimes for emerging markets: Reviving the intermediate option. Washington IIE