Capital Inflows and Real Exchange Rate Appreciation in Latin America

Carmen Reinhart, Guillermo Calvo and Leonardo Leiderman

MPRA Paper from University Library of Munich, Germany

Abstract: The characteristfcs of recent capital inflows into Latin America are discussed. It is argued that these inflows are partly explained by conditions outside the region, like recession in the United States and lower international interest rates. This suggests the possibility that a reversal of those conditions may lead to a future capital outflow, fncreasing the macroeconomic vulnerability of Latin American economies. Policy options are argued to be lfmited.

Keywords: capital; flow; reversals; inter; national; interest; rates; reserves; current; account; crises (search for similar items in EconPapers)
JEL-codes: F31 F32 F41 F42 (search for similar items in EconPapers)
Date: 1992
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (96)

Published in IMF Staff Papers 1.40(1993): pp. 108-151

Downloads: (external link)
https://mpra.ub.uni-muenchen.de/13843/2/MPRA_paper_13843.pdf original version (application/pdf)

Related works:
Working Paper: Capital inflows to Latin America with reference to the Asian experience (1995)
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:pra:mprapa:13843

Access Statistics for this paper

More papers in MPRA Paper from University Library of Munich, Germany Ludwigstraße 33, D-80539 Munich, Germany. Contact information at EDIRC.
Bibliographic data for series maintained by Joachim Winter ().