Exchange Rates: Systems and Policies

Graham Bird

Chapter 10 in World Finance and Adjustment, 1985, pp 241-277 from Palgrave Macmillan

Abstract: Abstract Discussion of exchange rates ties in closely with the analysis of the balance of payments in the previous chapter. Under a system of fixed exchange rates it is volumes that alter, with payments disequilibria resulting in changes in reserve holdings. Under flexible exchange rates it is the price variable, i. e. the exchange rate, that changes in response to disequilibria. In principle the level of reserves does not change. As these remarks suggest it is the way in which disequilibria are revealed rather than their basic causes that differentiates fixed rate and flexible rate systems.

Keywords: Exchange Rate; Real Exchange Rate; Foreign Exchange Market; Nominal Exchange Rate; Exchange Rate Volatility (search for similar items in EconPapers)
Date: 1985
References: Add references at CitEc
Citations:

There are no downloads for this item, see the EconPapers FAQ for hints about obtaining it.

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:pal:palchp:978-1-349-17938-1_10

Ordering information: This item can be ordered from
http://www.palgrave.com/9781349179381

DOI: 10.1007/978-1-349-17938-1_10

Access Statistics for this chapter

More chapters in Palgrave Macmillan Books from Palgrave Macmillan
Bibliographic data for series maintained by Sonal Shukla () and Springer Nature Abstracting and Indexing ().