Series: IMF Working Papers
Author(s): Fabian Valencia
Publisher: INTERNATIONAL MONETARY FUND
Publication Date: 01 March 2010
Keywords: Reserve adequacy, Optimal Reserves, Precautionary Motive, Balance of Payments Crises, foreign assets, net foreign assets, foreign asset, net foreign asset, net foreign asset position,
Using precautionary savings models we compute levels of optimal reserves for Bolivia. Because of Bolivia's reliance on commodity exports and little integration with capital markets, we focus on current account shoc...