Is the Exchange Rate a Shock Absorber?: The Case of Sweden
This paper uses a structural vector autoregression representation of the Mundell-Flemming model to analyze the determinants of movements in Sweden's real exchange rate. It finds that, while (supply and demand) shocks account for over 60 percent of the forecast error variance, comparable to seve...
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Format: | Elektronisch E-Book |
Sprache: | English |
Veröffentlicht: |
Washington, D.C
International Monetary Fund
1997
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Schriftenreihe: | IMF Working Papers
Working Paper No. 97/176 |
Online-Zugang: | UBW01 UEI01 LCO01 SBR01 UER01 SBG01 UBG01 FAN01 UBT01 FKE01 UBY01 UBA01 FLA01 UBM01 UPA01 UBR01 FHA01 FNU01 BSB01 TUM01 Volltext |
Zusammenfassung: | This paper uses a structural vector autoregression representation of the Mundell-Flemming model to analyze the determinants of movements in Sweden's real exchange rate. It finds that, while (supply and demand) shocks account for over 60 percent of the forecast error variance, comparable to several Economic and Monetary Union (EMU) countries, demand shocks account for a higher fraction of these real shocks in Sweden than in those core countries. If real demand shocks result from controllable macroeconomic policies, the cost of relinquishing the exchange rate is no higher, and may be lower, for Sweden than for most core EMU countries |
Beschreibung: | 1 Online-Ressource (22 p) |
ISBN: | 145197549X 9781451975499 |
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spelling | Thomas, Alun H. Verfasser aut Is the Exchange Rate a Shock Absorber? The Case of Sweden Thomas, Alun H Washington, D.C International Monetary Fund 1997 1 Online-Ressource (22 p) txt rdacontent c rdamedia cr rdacarrier IMF Working Papers Working Paper No. 97/176 This paper uses a structural vector autoregression representation of the Mundell-Flemming model to analyze the determinants of movements in Sweden's real exchange rate. It finds that, while (supply and demand) shocks account for over 60 percent of the forecast error variance, comparable to several Economic and Monetary Union (EMU) countries, demand shocks account for a higher fraction of these real shocks in Sweden than in those core countries. If real demand shocks result from controllable macroeconomic policies, the cost of relinquishing the exchange rate is no higher, and may be lower, for Sweden than for most core EMU countries Online-Ausg http://elibrary.imf.org/view/IMF001/03859-9781451975499/03859-9781451975499/03859-9781451975499.xml Verlag URL des Erstveröffentlichers Volltext |
spellingShingle | Thomas, Alun H. Is the Exchange Rate a Shock Absorber? The Case of Sweden |
title | Is the Exchange Rate a Shock Absorber? The Case of Sweden |
title_auth | Is the Exchange Rate a Shock Absorber? The Case of Sweden |
title_exact_search | Is the Exchange Rate a Shock Absorber? The Case of Sweden |
title_exact_search_txtP | Is the Exchange Rate a Shock Absorber? The Case of Sweden |
title_full | Is the Exchange Rate a Shock Absorber? The Case of Sweden Thomas, Alun H |
title_fullStr | Is the Exchange Rate a Shock Absorber? The Case of Sweden Thomas, Alun H |
title_full_unstemmed | Is the Exchange Rate a Shock Absorber? The Case of Sweden Thomas, Alun H |
title_short | Is the Exchange Rate a Shock Absorber? |
title_sort | is the exchange rate a shock absorber the case of sweden |
title_sub | The Case of Sweden |
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