The policy Trilemma (the ability to accomplish only two out of three policy objectives -financial integration, exchange … rate stability and monetary autonomy) continues to be a valid macroeconomic framework. The financial globalization during … financial globalization has been the growing exposure of developing countries to costly capital flights and deleveraging crises …

We develop a methodology that intuitively characterizes the choices countries have made with respect to the trilemma … international reserve accumulation. The evolution of our trilemma indexes illustrates that, after the early 1990s, industrialized … trilemma variable should be traded-off with a drop of the weighted sum of the other two. The second part of the paper deals …

We develop a methodology that intuitively characterizes the choices countries have made with respect to the trilemma … international reserve accumulation. The evolution of our 'trilemma indexes' illustrates that, after the early 1990s, industrialized … trilemma variable should be traded-off with a drop of the weighted sum of the other two. The second part of the paper deals …

Using the trilemma indexes developed by Aizenman et al. (2010) that measure the extent of achievement in each of the … three policy goals in the trilemma - monetary independence, exchange rate stability, and financial openness - we examine how … inflation rate. We find that trilemma policy configurations affect output volatility through the investment or trade channel …

countries make with respect to the trilemma: exchange rate stability, monetary independence, and capital account openness, we … investigate the normative questions pertaining to the trilemma, that is, how the policy choices among the three trilemma policies …

We examine the open macroeconomic policy choices of developing economies from the perspective of the economic 'trilemma …' hypothesis. We construct an index of divergence of the three trilemma policy choices, and evaluate its patterns in recent decades …. We find that the three dimensions of the trilemma configurations are converging towards a 'middle ground' among emerging …

liberalize markets and integrate with the world economy. We estimate the marginal propensity to sterilize foreign asset …