01733cas a2200253 a 4500 AALejournalIMF001994 230101c9999 xx r poo 0 0eng d 5.00 USD 9781451853223 1018-5941 BD-DhAAL BD-DhAAL Bonato, Leo. Exchange Rate Pass-Through and Monetary Policy in Croatia / Leo Bonato, Andreas Billmeier. Washington, D.C. : International Monetary Fund, 2002. 1 online resource (34 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 Exchange rate targeting is considered the best policy option in dollarized economies when wages and prices are indexed to the exchange rate. Croatia is a highly dollarized economy, but empirical investigation conducted in this paper shows that exchange rate pass-through has been low after stabilization. This finding, which is robust to different methodologies (VAR, cointegration), would suggest that dollarization is mostly limited to financial assets and therefore that strict exchange rate targeting may not necessarily be the best option. However, policy implications are unclear due to the endogeneity of the pass-through to the policy regime. Mode of access: Internet Billmeier, Andreas. IMF Working Papers; Working Paper ; No. 2002/109 Full text available on IMF http://elibrary.imf.org/view/journals/001/2002/109/001.2002.issue-109-en.xml IMF e-Library