01965cas a2200241 a 4500 AALejournalIMF002314 230101c9999 xx r poo 0 0eng d 5.00 USD 9781451847963 1018-5941 BD-DhAAL BD-DhAAL Papaioannou, Michael. Determinants of the Choice of Exchange Rate Regimes in Six Central American Countries : An Empirical Analysis / Michael Papaioannou. Washington, D.C. : International Monetary Fund, 2003. 1 online resource (28 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 examines whether decisions about the appropriate exchange rate regime in six Central American countries were based on longer-run economic fundamentals or on the confluence of historical and political circumstances. To uncover any actual relationship both across countries and across time, we estimate several probit and multinomial logit models of exchange rate regime choice with data spanning the period 1974-2001. We find that theoretical long-run determinants, such as trade openness, export share with the major trading partner, economic size, and per capita income, are adequate, but not robust, predictors of exchange rate regime choice. However, we were not able to establish a statistically significant association between the terms of trade fluctuations or capital account openness and a particular regime in any specification using our sample. Mode of access: Internet IMF Working Papers; Working Paper ; No. 2003/059 Full text available on IMF http://elibrary.imf.org/view/journals/001/2003/059/001.2003.issue-059-en.xml IMF e-Library