At the end of the nineties, many developing countries featured an open capital market and relied heavily on dollar-debt financing of their private sector. This paper analyses whether, in this context, adopting a clean floating exchange rate regime can be a sustainable policy choice. In the...

This paper analyses the impact of remittances sent by altruistic migrants on the labor supply of left-home residents. The model is cast as a game between the migrant and the resident, where the former has only an imperfect information about the true economic situation of the latter. The optimal...