01752cas a2200241 a 4500 AALejournalIMF001375 230101c9999 xx r poo 0 0eng d 5.00 USD 9781451844047 1018-5941 BD-DhAAL BD-DhAAL Paiva, Claudio. Competitiveness and the Equilibrium Exchange Rate in Costa Rica / Claudio Paiva. Washington, D.C. : International Monetary Fund, 2001. 1 online resource (29 pages) IMF Working Papers <strong>Off-Campus Access:</strong> No User ID or Password Required <strong>On-Campus Access:</strong> No User ID or Password Required Electronic access restricted to authorized BRAC University faculty, staff and students This paper evaluates several indicators of external vulnerability and estimates the equilibrium real exchange rate for Costa Rica. While current indicators are mostly positive, declining market shares of domestic exports, the expected decline in foreign direct investment, and the desirability of strengthening the reserve position recommend an improvement in the current account. Costa Rica's equilibrium real exchange rate is then estimated using the CGER and the FEER methodologies. The overall conclusion is that while there are no signs of serious external vulnerability, the real exchange rate appears to be somewhat overvalued, a situation that would be best addressed through increased fiscal discipline. Mode of access: Internet IMF Working Papers; Working Paper ; No. 2001/023 Full text available on IMF http://elibrary.imf.org/view/journals/001/2001/023/001.2001.issue-023-en.xml IMF e-Library