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Choosing the Correct Currency Anchor for a Small Economy

Choosing the Correct Currency Anchor for a Small Economy »

Source: Choosing the Correct Currency Anchor for a Small Economy : The Case of Nepal

Volume/Issue: 2004/142

Series: IMF Working Papers

Author(s): Sibel Beadle

Publisher: INTERNATIONAL MONETARY FUND

Publication Date: 01 August 2004

ISBN: 9781451856286

Keywords: Optimum Currency Area, Asian Crisis, Exchange Rate Basket, Currency Peg, exchange rate, export prices, import prices, currency basket, exchange rate rule, Asian Crises,

This paper uses the Sjaastad model to estimate the optimal currency area for the Nepalese rupee and concludes that, currently, Nepal may be reasonably well off with its peg to the Indian rupee. As its economy opens...

Choosing the Correct Currency Anchor for a Small Economy
			: The Case of Nepal

Choosing the Correct Currency Anchor for a Small Economy : The Case of Nepal »

Volume/Issue: 2004/142

Series: IMF Working Papers

Author(s): Sibel Beadle

Publisher: INTERNATIONAL MONETARY FUND

Publication Date: 01 August 2004

DOI: http://dx.doi.org/10.5089/9781451856286.001

ISBN: 9781451856286

Keywords: Optimum Currency Area, Asian Crisis, Exchange Rate Basket, Currency Peg, exchange rate, export prices, import prices, currency basket, exchange rate rule, Asian Crises,

This paper uses the Sjaastad model to estimate the optimal currency area for the Nepalese rupee and concludes that, currently, Nepal may be reasonably well off with its peg to the Indian rupee. As its economy opens...