EconPapers    
Economics at your fingertips  
 

Dominant Currencies and External Adjustment

Gustavo Adler, Camila Casas, Luis M. Cubeddu, Gita Gopinath, Nan Li (), Sergii Meleshchuk, Carolina Osorio Buitron, Damien Puy and Yannick Timmer

No 2020/005, IMF Staff Discussion Notes from International Monetary Fund

Abstract: The extensive use of the US dollar when firms set prices for international trade (dubbed dominant currency pricing) and in their funding (dominant currency financing) has come to the forefront of policy debate, raising questions about how exchange rates work and the benefits of exchange rate flexibility. This Staff Discussion Note documents these features of international trade and finance and explores their implications for how exchange rates can help external rebalancing and buffer macroeconomic shocks.

Keywords: Currencies; Exchange rates; Exports; Depreciation; Imports; SDN,currency pricing,financing currency,Colombian peso,currency financing,expenditure switching (search for similar items in EconPapers)
Pages: 46
Date: 2020-07-20
New Economics Papers: this item is included in nep-ifn, nep-mon and nep-opm
References: Add references at CitEc
Citations: Track citations by RSS feed

Downloads: (external link)
http://www.imf.org/external/pubs/cat/longres.aspx?sk=48618 (application/pdf)
Our link check indicates that this URL is bad, the error code is: 403 Forbidden

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:imf:imfsdn:2020/005

Ordering information: This working paper can be ordered from
http://www.imf.org/external/pubs/pubs/ord_info.htm

Access Statistics for this paper

More papers in IMF Staff Discussion Notes from International Monetary Fund International Monetary Fund, Washington, DC USA. Contact information at EDIRC.
Bibliographic data for series maintained by Akshay Modi ().

 
Page updated 2021-04-08
Handle: RePEc:imf:imfsdn:2020/005