Are stabilization programs expansionary?

Federico Echenique and Alvaro Forteza ()

No 196, Documentos de Trabajo (working papers) from Department of Economics - dECON

Abstract: The empirical evidence presented in this paper casts serious doubts on the by now widely accepted "stylized facts" of the exchange rate based stabilization programs (ERBS) as they are stated in Kiguel and Liviatan (1992) and in Végh (1992). Even though the ERBS programs were associated with output booms, no evidence of booms provoked by the stabilization programs is found. Rather, exogenous capital inflows to Latin America seem to have caused both the output booms and the stabilization programs. Other stylized facts, namely that the ERBS programs cause real exchange rate appreciations and trade account deficits are not rejected by the analysis presented in this paper.

Pages: 23 pages
Date: 1996-12
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (5)

Downloads: (external link)
https://hdl.handle.net/20.500.12008/2291 (application/pdf)

Related works:
Journal Article: Are stabilization programs expansionary? (2000)
Working Paper: Are Stabilization Programs Expansionary? (1997)
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:ude:wpaper:0196

Access Statistics for this paper

More papers in Documentos de Trabajo (working papers) from Department of Economics - dECON Contact information at EDIRC.
Bibliographic data for series maintained by Andrea Doneschi () and ().