A more integrated global financial system has implications on the economic volatility of small open economies. This paper simulates the impact of a shortterm shock originating from the global financial system on small open economies in the Association of Southeast Asian Nations (ASEAN). The...

This paper simulates the impact of a short-term shock originating from the global financial system on small open economies in the Association of Southeast Asian Nations (ASEAN). The simulation uses empirically estimated general equilibrium models for Indonesia, Malaysia, the Philippines, and...

Real exchange rate (RER) misalignment, which is the deviation between the actual real exchange rate from its equilibrium, occurs frequently among developing economies. Studies have shown that RER misalignment may have negative economic implications, such as a reduction in economic growth,...

A more integrated global financial system has implications on the economic volatility of small open economies. This paper simulates the impact of a short term shock originating from the global financial system on small open economies in the Association of Southeast Asian Nations (ASEAN). The...

This paper estimates the impact of monetary policy on exchange rates and stock markets for eight small open economies: Australia, Canada, the Republic of Korea, New Zealand, the United Kingdom, Indonesia, Malaysia and Thailand. On average across these countries, a one percentage point surprise...

The insulating properties of flexible exchange rates have long been a highly contentious issue in emerging markets - not least in Asian emerging markets. A number of recent theoretical and empirical studies question whether a trade-off exists between rigid exchange rate regimes and insulation...