Prospects for the Euro: Will Reserve Holdings Shift in Its Favour?

Bala Batavia, P. Nandakumar and Cheick Wague

The Journal of Economic Asymmetries, 2008, vol. 5, issue 1, 79-91

Abstract: The determinants of Central Bank reserve holdings of major hard currencies are analyzed for the pre-Euro and the post-Euro periods. Real economic variables, financial variables, and developments in key Asian markets which are likely to possess greater clout in the future are used in the estimation process. Developments in oil markets are also considered while evaluating the future global importance of the Euro. Simulations are undertaken to trace possible future scenarios for the Euro and the Dollar. The simulations indicate that a rise in Asian emerging market share of world output will work towards preserving Dollar dominance.

Keywords: F02; F36; F37; Euro Dollar reserve holdings simulations (search for similar items in EconPapers)
Date: 2008
References: View references in EconPapers View complete reference list from CitEc
Citations:

Downloads: (external link)
http://www.sciencedirect.com/science/article/pii/S1703494915303327
Full text for ScienceDirect subscribers only

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:eee:joecas:v:5:y:2008:i:1:p:79-91

DOI: 10.1016/j.jeca.2008.01.007

Access Statistics for this article

The Journal of Economic Asymmetries is currently edited by A.G. Malliaris

More articles in The Journal of Economic Asymmetries from Elsevier
Bibliographic data for series maintained by Catherine Liu ().