IMF Staff papers : Volume 43 No. 4.

This paper reviews recent theoretical and empirical work on controls over International capital movements. Theoretical contributions reviewed focus on 'second-best ' arguments for capital market restrictions, as well as arguments based on multiple equilibria. The empirical literature sugge...

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Bibliographic Details
Corporate Author: International Monetary Fund. Research Dept
Format: Journal
Language:English
Published: Washington, D.C. : International Monetary Fund, 1996.
Series:IMF Staff Papers; IMF Staff Papers ; No. 1996/004
Online Access:Full text available on IMF
Description
Summary:This paper reviews recent theoretical and empirical work on controls over International capital movements. Theoretical contributions reviewed focus on 'second-best ' arguments for capital market restrictions, as well as arguments based on multiple equilibria. The empirical literature suggests that controls have been 'effective ' in the narrow sense of influencing yield differentials. But there is little evidence that controls have helped governments meet policy objectives, with the exception of reducing the governments' debt-service costs, and no evidence that controls have enhanced economic welfare in a manner suggested by theory.
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Physical Description:1 online resource (212 pages)
Format:Mode of access: Internet
ISSN:1020-7635
Access:Electronic access restricted to authorized BRAC University faculty, staff and students