The Need for Capital Controls in Fixed Exchange Rate Systems

Abstract: This 7 page paper argues that in any country where the currency is free floating there will be an incompatibility with any fixed exchange rate system unless it involves monetary union or has capital controls. The paper look at the way in which currency crises occur and applies this to the argument of the paper. The bibliography cites 4 sources.

Filename: TEcurcon.wps

Pages: 7

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Catagory: Money & Banking / Corporate Finance

Subcatagory: Accounting & Personal Finance

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