Monetäre Ursachen der Arbeitslosigkeit in Currency Board-Systemen?

Ole Janssen and Armin Rohde

No 02/2002, Wirtschaftswissenschaftliche Diskussionspapiere from University of Greifswald, Faculty of Law and Economics

Abstract: The rule bounded currency board-system is a contribution to a process of convergence between the price level of the currency board-country and the anchor currency-country. However this strategy includes the risk of an inadequate provision with liquidity in the currency board-country. In the long run this corresponds to the risk of increasing the structural unemployment. Keeping up the currency board-principle of a sufficient reserve backing, the orientation of the monetary expansion to the inevitable inflation rate may reduce this risk. However it also raises the risk of a reduced credibility concerning monetary policy and price level stability. In conclusion there exists a trade-off between the credib ility of monetary discipline and therefore price level stability, and the monetary flexibility and employment and therefore the credibility of keeping up the currency board-system in the long run.

Date: 2002
References: View complete reference list from CitEc
Citations:

Downloads: (external link)
https://www.econstor.eu/bitstream/10419/48896/1/347136087.pdf (application/pdf)

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:zbw:grewdp:022002

Access Statistics for this paper

More papers in Wirtschaftswissenschaftliche Diskussionspapiere from University of Greifswald, Faculty of Law and Economics Contact information at EDIRC.
Bibliographic data for series maintained by ZBW - Leibniz Information Centre for Economics ().