Abstract

The key objectives of the policy forum were to flesh out new policy points in the decades long-debate on fixed versus flexible exchange rate systems and the related issue of optimum currency areas (OCA). When the OCA theory addressing the question “One money for how many?” was developed in the early 1960s by Robert A. Mundell and Ronald McKinnon, it did not focus on certain questions at the heart of the current policy debate. The policy forum sought to evaluate, under current world circumstances, the new policy-oriented developments regarding the classic debate on fixed versus floating exchange rates.