The natural rate of interest in a small open economy
No 121, Working Papers from Universidade Federal do Paraná, Department of Economics
The goal of this paper is to show that the natural rate of interest in a small open economy, with access to the world capital markets, is equal to the international real rate of interest. We show this property by using the infinitely-lived overlapping generations model and we use this model to analyze both fixed and flexible exchange rate regimes.
Keywords: small open economy; natural rate of interest; complete and incomplete asset markets (search for similar items in EconPapers)
JEL-codes: F41 (search for similar items in EconPapers)
Pages: 22 pages
New Economics Papers: this item is included in nep-dge and nep-mon
Note: Creation Date corresponds to the year in which the paper was published on the Department of Economics website. The paper may have been written a small number of months before its publication date.
References: View references in EconPapers View complete reference list from CitEc
Citations: Track citations by RSS feed
Downloads: (external link)
http://www.economiaetecnologia.ufpr.br/textos_disc ... no_2011_texto_11.pdf (application/pdf)
Working Paper: THE NATURAL RATE OF INTEREST IN A SMALLOPEN ECONOMY (2014)
Working Paper: The Natural Rate of Interest in a Small Open Economy (2011)
This item may be available elsewhere in EconPapers: Search for items with the same title.
Export reference: BibTeX
RIS (EndNote, ProCite, RefMan)
Persistent link: https://EconPapers.repec.org/RePEc:fup:wpaper:0121
Access Statistics for this paper
More papers in Working Papers from Universidade Federal do Paraná, Department of Economics Contact information at EDIRC.
Bibliographic data for series maintained by Luciano Nakabashi ( this e-mail address is bad, please contact ).