Front Matter Page

IMF WORKING PAPER

© 1992 International Monetary Fund

WP/92/58

International Monetary Fund

External Relations Department

Working Paper Summaries

Compiled by the Editorial Division

Authorized for Distribution by Shailendra J. Anjaria

August 1992

Working Paper Summaries

This compilation of summaries of Working Papers released during January-June 1992 is being issued for the first time as a part of the Working Paper series. It is designed to provide the reader with an overview of the research work performed by the staff during the period. Future compilations of summaries will be issued at six-monthly intervals.

Authors of Working Papers are normally staff members of the Fund or consultants, although on occasion outside authors may collaborate with a staff member in writing a paper. The views expressed in the Working Papers or their summaries are, however, those of the authors and should not necessarily be interpreted as representing the views of the Fund.

Copies of individual Working Papers and information on subscriptions to the annual series of Working Papers may be obtained from IMF Publication Services, International Monetary Fund, 700 19th Street, Washington D.C. 20431. Telephone: (202) 623-7430 Telefax: (202) 623-7201

Contents

• WP/92/1 (January 1992)

  • by Pierre-Richard Agénor

• “Foreign Currency Deposits and the Demand for Money in Developing Countries”

• WP/92/2 (January 1992)

  • by Bijan B. Aghevli, Eduardo Borensztein, and Tessa van der Willigen

• “Stabilization and Structural Reform in Czechoslovakia: An Assessment of the First Stage”

• WP/92/3 (January 1992)

  • by Sami Geadah, Tapio Saavalainen, and Lars E.O. Svensson

• “The Credibility of Nordic Exchange Rate Bands: 1987-91”

• WP/92/4 (January 1992)

  • by Manmohan S. Kumar

• “Econometric Analysis of Industrial Country Commodity Exports”

• WP/92/5 (January 1992)

  • by Adi Brender

• “China’s Foreign Trade Behavior in the 1980s: An Empirical Analysis”

• WP/92/6 (January 1992)

  • by Timothy D. Lane

• “Household Demand for Money in Poland: Theory and Evidence”

• WP/92/7 (January 1992)

  • by James M. Boughton

• “International Comparisons of Money Demand: A Review Essay”

• WP/92/8 (January 1992)

  • by Dieter Bös

• “Privatization in East Germany: A Survey of Current Issues”

• WP/92/9 (January 1992)

  • by Daniel C. Hardy and Ashok Kumar Lahiri

• “Bank Insolvency and Stabilization in Eastern Europe”

• WP/92/10 (January 1992)

  • by Aasim M. Husain

• “Distortionary Taxation and the Debt Laffer Curve”

• WP/92/11 (February 1992)

  • by Fiorella Padoa Schioppa Kostoris

• “A Cross-Country Analysis of the Tax-Push Hypothesis”

• WP/92/12 (February 1992)

  • by A.R. Boote

• “Assessing Eastern Europe’s Capital Needs”

• WP/92/13 (February 1992)

  • by Aasim M. Husain and Ratna Sahay

• “Does Sequencing of Privatization Matter in Reforming Planned Economies?”

• WP/92/14 (February 1992)

  • by Enrique G. Mendoza

• “A Quantitative Examination of Current Account Dynamics in Equilibrium Models of Barter Economies”

• WP/92/15 (February 1992)

  • by Vito Tanzi

• “Theory and Policy: A Comment on Dixit and on Current Tax Theory”

• WP/92/16 (February 1992)

  • by Efraim Sadka and Vito Tanzi

• “A Tax on Gross Assets of Enterprises as a Form of Presumptive Taxation”

• WP/92/17 (March 1992)

  • by Liliana Rojas-Suárez

• “From the Debt Crisis Toward Economic Stability: An Analysis of the Consistency of Macroeconomic Policies in Mexico”

• WP/92/18 (February 1992)

  • by Lazaros Molho

• “Reserve Requirements on Bank Deposits as Implicit Taxes: A Case Study of Italy”

• WP/92/19 (March 1992)

  • by José De Gregorio

• “Theories of Policy Accommodation: The Persistence of Inflation and Gradual Stabilizations”

• WP/92/20 (March 1992)

  • by Joshua Aizenman

• “Exchange Rate Flexibility, Volatility and the Patterns of Domestic and Foreign Direct Investment”

• WP/92/21 (March 1992)

  • by Michael Dooley, Richard D. Haas, and Steven Symansky

• “A Note on Burden Sharing Among Creditors”

• WP/92/22 (March 1992)

  • by Leonardo Bartolini and Gordon M. Bodnar

• “Target Zones and Forward Rates in a Model with Repeated Realignments”

• WP/92/23 (March 1992)

  • by Nurun N. Choudhry

• “Fiscal Revenue, Inflationary Finance, and Growth”

• WP/92/24 (March 1992)

  • by Shoukang Lin and Kent Osband

• “Can the Release of a Monetary Overhang Trigger Hyperinflation?”

• WP/92/25 (March 1992)

  • by Aasim M. Husain

• “Sovereign Debt Relief Schemes and Welfare”

• WP/92/26 (March 1992)

  • by Marcus Miller and Alan Sutherland

• “Contracts, Credibility, and Common Knowledge: Their Influence on Inflation Convergence”

• WP/92/27 (April 1992)

  • by Leonardo Bartolini and Gordon M. Bodnar

• “An Analysis of the Process of Capital Liberalization in Italy”

• WP/92/28 (April 1992)

  • by Dubravko Mihaljek

• “Tariffs, Optimal Taxes, and Collection Costs”

• WP/92/29 (April 1992)

  • by Vito Tanzi

• “Financial Markets and Public Finance in the Transformation Process”

• WP/92/30 (May 1992)

  • by Michael Bruno

• “Stabilization and Reform in Eastern Europe: A Preliminary Evaluation”

• WP/92/31 (May 1992)

  • by Peter Isard, Donald J. Mathieson, and Liliana Rojas-Suárez

• “A Framework for the Analysis of Financial Reforms and the Cost of Official Safety Nets”

• WP/92/32 (May 1992)

  • by Pierre-Richard Agénor and Robert P. Flood

• “Anticipated Exchange Rate Reforms”

• WP/92/33 (May 1992)

  • by Liliana Rojas-Suárez

• “Currency Substitution and Inflation in Peru”

• WP/92/34 (May 1992)

  • by Ronald MacDonald and Mark P. Taylor

• “The Monetary Approach to the Exchange Rate: Rational Expectations, Long-Run Equilibrium and Forecasting”

• WP/92/35 (May 1992)

  • by Charles Adams and Bankim Chadha

• “Growth, Productivity, and the Rate of Return on Capital”

• WP/92/36 (May 1992)

  • by Anne Marie Guide and Marianne Schulze-Ghattas

• “Aggregation of Economic Indicators Across Countries: Exchange Rate Versus PPP-Based GDP Weights”

• WP/92/37 (May 1992)

  • by Javier Hamann

• “The Optimal Rate of Money Creation in an Overlapping-Generations Model: Numerical Simulations for the U.S. Economy”

• WP/92/38 (May 1992)

  • by Sheetal K. Chand

• “Fiscal Impulses and Their Fiscal Impact”

• WP/92/39 (May 1992)

  • by Joshua Aizenman and Robert P. Flood

• “A Theory of Optimum Currency Areas: Revisited”

• WP/92/40 (May 1992)

  • by Guillermo A. Calvo and Carlos A. Végh

• “Currency Substitution in Developing Countries: An Introduction”

• WP/92/41 (June 1992)

  • by Bennett T. McCallum

• “Specification of Policy Rules and Performance Measures in Multicountry Simulation Studies”

• WP/92/42 (June 1992)

  • by Timothy D. Lane

• “Market Discipline”

• WP/92/43 (June 1992)

  • by Parthasarathi Shome

• “Trends and Future Directions in Tax Policy Reform: A Latin American Perspective”

• WP/92/44 (June 1992)

  • by Domenico Fanizza

• “Price Liberalization in a Reforming Socialist Economy: A Search Equilibrium Approach”

• WP/92/45 (June 1992)

  • by Steven R. Weisbrod, Howard Lee, and Liliana Rojas-Suárez

• “Bank Risk and the Declining Franchise Value of the Banking Systems in the United States and Japan”

• WP/92/46 (June 1992)

  • by Donald Mathieson and Liliana Rojas-Suárez

• “Liberalization of the Capital Account: Experiences and Issues”

• WP/92/47 (June 1992)

  • by Christian Mulder

• “The Macroeconomic Effects of Counterpart Funds and the Underlying Foreign Aid”