Optimal common currency basket in East Asia
This article employs the currency invariant index due to Hovanov et al. (2004) to construct an optimal or stable common G-3 currency basket across different groups of countries in East Asia. Calculated optimal weights show a larger weight for the US dollar but a nonnegligible role for the Japanese yen. The volatility of the optimal common G-3 currency basket is several times smaller than that of a similarly proposed common G-3 currency basket in East Asia.
Year of publication: |
2009
|
---|---|
Authors: | Pontines, Victor |
Published in: |
Applied Economics Letters. - Taylor & Francis Journals, ISSN 1350-4851. - Vol. 16.2009, 11, p. 1139-1141
|
Publisher: |
Taylor & Francis Journals |
Saved in:
freely available
Saved in favorites
Similar items by person
-
Financial stability and financial inclusion
Morgan, Peter J., (2014)
-
The dynamics of business cycle connectedness and the decoupling of <scp>Asia‐Pacific</scp>
Pontines, Victor, (2021)
-
NO to ¥E$? Enhancing Economic Integration in East Asia through Closer Monetary Cooperation
Lamberte, Mario B., (2001)
- More ...