Sterilization, monetary policy, and global financial integration
Joshua Aizenman and
Reuven Glick
No 2008-15, Working Paper Series from Federal Reserve Bank of San Francisco
Abstract:
This paper investigates the changing pattern and efficacy of sterilization within emerging market countries as they liberalize markets and integrate with the world economy. We estimate the marginal propensity to sterilize foreign asset accumulation associated with net balance of payments inflows, across countries and over time. We find that the extent of sterilization of foreign reserve inflows has risen in recent years to varying degrees in Asia as well as in Latin America, consistent with greater concerns about the potential inflationary impact of reserve inflows. We also find that sterilization depends on the composition of balance of payments inflows.
Keywords: Emerging markets; Bank reserves; International finance (search for similar items in EconPapers)
Date: 2008
New Economics Papers: this item is included in nep-cba, nep-mon, nep-opm and nep-sea
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (18)
Downloads: (external link)
http://www.frbsf.org/publications/economics/papers/2008/wp08-15bk.pdf (application/pdf)
Related works:
Journal Article: Sterilization, Monetary Policy, and Global Financial Integration (2009) 
Working Paper: Sterilization, Monetary Policy, and Global Financial Integration (2008) 
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:fip:fedfwp:2008-15
Ordering information: This working paper can be ordered from
Access Statistics for this paper
More papers in Working Paper Series from Federal Reserve Bank of San Francisco Contact information at EDIRC.
Bibliographic data for series maintained by Federal Reserve Bank of San Francisco Research Library ().