Chang, Roberto (contributor); Velasco, Andrés (contributor) - 2004
shocks to export demand.
4
This de�nition of equilibrium policy is the same as in Chari and Kehoe (1990) and Stokey
(1991).
9 … �oat or to �x the currency, after portfolios have been chosen. We
identify conditions under which both �xing and �oating … the central
bank chooses the exchange rate regime (whether to �x the nominal exchange
rate or to �x the domestic price …