01603cas a2200241 a 4500 AALejournalIMF008569 230101c9999 xx r poo 0 0eng d 5.00 USD 9781451953725 1018-5941 BD-DhAAL BD-DhAAL Bayoumi, Tamim. The Effect of the ERM on Participating Economies / Tamim Bayoumi. Washington, D.C. : International Monetary Fund, 1991. 1 online resource (36 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 The effect of membership of the ERM on macroeconomic performance is analyzed using vector autoregression techniques. The results indicate that while the ERM has had little effect on the nature of the shocks hitting the economies, it has had a significant effect on the response of member countries to these shocks. In addition, long-time members of the ERM have significantly more correlated shocks than other countries. These results conform to the thesis that the ERM represents a move by countries with relatively similar underlying shocks to coordinate macroeconomic policy. Mode of access: Internet IMF Working Papers; Working Paper ; No. 1991/086 Full text available on IMF http://elibrary.imf.org/view/journals/001/1991/086/001.1991.issue-086-en.xml IMF e-Library