The Euro Bloc, the Dollar Bloc and the Yen Bloc: How Much Monetary Policy Independence Can Exchange Rate Flexibility Buy in an Interdependent World?

摘要: The paper analyses the trade-off between exchange rate flexibility and monetary policy autonomy. It tests empirically "Possible Duality" hypothesis, i.e. whether countries with more flexible currency regimes are indeed able to exert autonomy than those less ones, moving towards allows gain independence. results for a set of open emerging markets ERM show no systematic link is also found that Fed still dominant force in world capital markets, although importance EU decisions has been increasing Euro bloc formed Europe.