全球智库信息集成服务系统(G2TT): DP11928 Exchange Rate Policies at the Zero Lower Bound

G2TT

来源类型	Discussion paper
规范类型	论文
来源ID	DP11928
	DP11928 Exchange Rate Policies at the Zero Lower Bound
	fabrizio perri; Manuel Amador; Javier Bianchi
发表日期	2017-03-20
出版年	2017
语种	英语
摘要	We study how a monetary authority pursues an exchange rate objective in an environment that features a zero lower bound (ZLB) constraint on nominal interest rates and limits to international arbitrage. If the nominal interest rate that is consistent with interest rate parity is positive, the central bank can achieve it exchange rate objective by choosing that interest rate, a well-known result in international finance. However, if the rate consistent with parity is negative, pursuing an exchange rate objective necessarily results in zero nominal interest rates, deviations from parity, capital inflows, and welfare costs associated with the accumulation of foreign reserves by the central bank. In this latter case, all changes in external conditions that increase inflows of capital toward the country are detrimental, while policies such as negative nominal interest rates or capital controls can reduce the costs associated with an exchange rate policy. We provide a simple way of measuring these costs, and present empirical support for the key implications of our framework: when interest rates are close to zero, violations in covered interest parity are more likely, and those violations are associated with reserve accumulation by central banks.
主题	International Macroeconomics and Finance
关键词	Capital flows Cip deviations Currency pegs Foreign exchange interventions International reserves Negative interest rates
URL	https://cepr.org/publications/dp11928
来源智库	Centre for Economic Policy Research (United Kingdom)
资源类型	智库出版物
条目标识符	http://119.78.100.153/handle/2XGU8XDN/540740
推荐引用方式 GB/T 7714	fabrizio perri,Manuel Amador,Javier Bianchi. DP11928 Exchange Rate Policies at the Zero Lower Bound. 2017.