If there is a negative terms of trade or financial shock leading to the deterioration in the balance of payments, there are two basic options for a country that has limited foreign exchange reserves. First, a country can maintain a fixed exchange rate (or even a currency board) and wait until...

If there is a negative terms of trade or financial shock leading to the deterioration in the balance of payments, there are two basic options for a country that has limited foreign exchange reserves. First, a country can maintain a fixed exchange rate (or even a currency board) and wait until...

Articles have been published repeatedly in the pages of "Voprosy ekonomiki" in which attempts have been made to prove that the exchange rate of the ruble was artificially made too high, that a devaluation was not only desirable but essential to stimulate growth in exports and production, and...