The Dollar in the Turmoil

Agnès Benassy-Quere, Sophie Béreau () and Valérie Mignon ()

Working Papers from CEPII research center

Abstract: We study the impact of the global financial crisis on the equilibrium exchange rate of the US dollar. We first simulate the impact of the crisis on the US net foreign asset position. Then, we calculate the equilibrium value of the dollar according both to a BEER and to a FEER approach. We find the case for a strong, although temporary, depreciation of the dollar even more acute than before the crisis. This suggests that the strength of the dollar in late 2008 and early 2009 may be short-lived.

Keywords: Equilibrium exchange rate; US dollar; Global imbalances; Crisis; Valuation effects (search for similar items in EconPapers)
JEL-codes: C23 F31 (search for similar items in EconPapers)
Date: 2009-04
New Economics Papers: this item is included in nep-cba, nep-ifn and nep-mon
References: View references in EconPapers View complete reference list from CitEc
Citations:

Downloads: (external link)
http://www.cepii.fr/PDF_PUB/wp/2009/wp2009-08.pdf (application/pdf)

Related works:
Journal Article: The dollar in the turmoil (2009)
Working Paper: The dollar in the turmoil (2009)
Working Paper: The dollar in the turmoil (2009)
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:cii:cepidt:2009-08

Access Statistics for this paper

More papers in Working Papers from CEPII research center Contact information at EDIRC.
Bibliographic data for series maintained by ().