Direct and Spillover Effects of Unconventional Monetary and Exchange Rate Policies /

This paper explores the effects of unconventional monetary and exchange rate policies. We find that official foreign asset purchases have large effects on current accounts that diminish as capital mobility rises and spill over to financially integrated countries. There is an additional effect throug...

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Xehetasun bibliografikoak
Egile nagusia: Gagnon, Joseph
Beste egile batzuk: Bayoumi, Tamim, Londono, Juan, Saborowski, Christian
Formatua: Aldizkaria
Hizkuntza:English
Argitaratua: Washington, D.C. : International Monetary Fund, 2017.
Saila:IMF Working Papers; Working Paper ; No. 2017/056
Sarrera elektronikoa:Full text available on IMF
Deskribapena
Gaia:This paper explores the effects of unconventional monetary and exchange rate policies. We find that official foreign asset purchases have large effects on current accounts that diminish as capital mobility rises and spill over to financially integrated countries. There is an additional effect through the stock of central bank assets. Domestic asset purchases have an effect on current accounts only when capital mobility is low. We also find that rising US bond yields drive foreign yields, stock prices and depreciations, but less so on days of policy announcements. We develop a theoretical model that is broadly consistent with our results.
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Deskribapen fisikoa:1 online resource (52 pages)
Formatua:Mode of access: Internet
ISSN:1018-5941
Sartu:Electronic access restricted to authorized BRAC University faculty, staff and students