01673cas a2200241 a 4500 AALejournalIMF004197 230101c9999 xx r poo 0 0eng d 5.00 USD 9781451864007 1018-5941 BD-DhAAL BD-DhAAL Iimi, Atsushi. Exchange Rate Misalignment : An Application of the Behavioral Equilibrium Exchange Rate (BEER) to Botswana / Atsushi Iimi. Washington, D.C. : International Monetary Fund, 2006. 1 online resource (31 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 Botswana's successive currency devaluations and recent move from a fixed to a crawling peg exchange rate regime raise the question of whether the exchange rate might be misaligned with economic fundamentals. This paper, applying the behavioral equilibrium exchange rate (BEER) approach, analyzes the behavior of the real exchange rate for the period 1985-2004. It finds that the pula was undervalued in the later 1980s but overvalued in recent years. Some policy lessons from experiences in other countries with crawling peg arrangements are therefore considered in the context of Botswana. Mode of access: Internet IMF Working Papers; Working Paper ; No. 2006/140 Full text available on IMF http://elibrary.imf.org/view/journals/001/2006/140/001.2006.issue-140-en.xml IMF e-Library