NATIONAL BUREAU OF ECONOMIC RESEARCH
NATIONAL BUREAU OF ECONOMIC RESEARCH

Currency Wars, Coordination, and Capital Controls

Olivier Blanchard

NBER Working Paper No. 22388
Issued in July 2016
NBER Program(s):EFG, IFM

The strong monetary policy actions undertaken by advanced economies' central banks have led to complaints of “currency wars” by some emerging market economies, and to widespread demands for more macroeconomic policy coordination. This paper revisits these issues. It concludes that, while advanced economies' monetary policies indeed have had substantial spillover effects on emerging market economies, there was and still is little room for coordination. It then argues that restrictions on capital flows were and are a more natural instrument for advancing the objectives of both macro and financial stability.

You may purchase this paper on-line in .pdf format from SSRN.com ($5) for electronic delivery.

Access to NBER Papers

You are eligible for a free download if you are a subscriber, a corporate associate of the NBER, a journalist, an employee of the U.S. federal government with a ".GOV" domain name, or a resident of nearly any developing country or transition economy.

If you usually get free papers at work/university but do not at home, you can either connect to your work VPN or proxy (if any) or elect to have a link to the paper emailed to your work email address below. The email address must be connected to a subscribing college, university, or other subscribing institution. Gmail and other free email addresses will not have access.

E-mail:

Machine-readable bibliographic record - MARC, RIS, BibTeX

Document Object Identifier (DOI): 10.3386/w22388

Users who downloaded this paper also downloaded* these:
Benigno, Chen, Otrok, Rebucci, and Young w22224 Optimal Capital Controls and Real Exchange Rate Policies: A Pecuniary Externality Perspective
Rey w21852 International Channels of Transmission of Monetary Policy and the Mundellian Trilemma
Farhi and Maggiori w22295 A Model of the International Monetary System
Schmitt-Grohé and Uribe w22481 Is Optimal Capital-Control Policy Countercyclical In Open-Economy Models With Collateral Constraints?
Blanchard, Ostry, Ghosh, and Chamon w21619 Are Capital Inflows Expansionary or Contractionary? Theory, Policy Implications, and Some Evidence
 
Publications
Activities
Meetings
NBER Videos
Themes
Data
People
About

National Bureau of Economic Research, 1050 Massachusetts Ave., Cambridge, MA 02138; 617-868-3900; email: info@nber.org

Contact Us