Structural changes in exchange rate regimes in Brazil

Reginaldo Nogueira, Claudio Shikida and Ari Francisco de Araujo ()
Additional contact information
Ari Francisco de Araujo: IBMEC-MG

Economics Bulletin, 2011, vol. 31, issue 2, 1748-1756

Abstract: Following a dramatic breakdown of a managed floating regime, Brazil adopted a framework for policy consisting of inflation targeting and floating exchange rates. The country's commitment to this arrangement, however, is often put to dispute. In this paper we revisit the issue of whether Brazil has truly accepted to let its currency float, taking use of cross-currency linear regression models complemented by inferential techniques for evaluating the stability of exchange rate regimes. The results found suggest that Brazil does seem to have shifted towards greater exchange rate flexibility after the abandonment of its dollar-peg. However, after the adoption of inflation targeting the degree of exchange rate flexibility seems to have reduced a little.

Keywords: Structural changes; exchange rate regimes; emerging markets. (search for similar items in EconPapers)
JEL-codes: C1 E5 (search for similar items in EconPapers)
Date: 2011-06-14
References: View references in EconPapers View complete reference list from CitEc
Citations:

Downloads: (external link)
http://www.accessecon.com/Pubs/EB/2011/Volume31/EB-11-V31-I2-P159.pdf (application/pdf)

Related works:
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:ebl:ecbull:eb-11-00296

Access Statistics for this article

More articles in Economics Bulletin from AccessEcon
Bibliographic data for series maintained by John P. Conley ().