The accumulation of foreign exchange by central banks: Fear of capital mobility?

DC FieldValueLanguage
dc.contributor.authorSteiner, Andreas
dc.date.accessioned2021-12-23T15:57:25Z-
dc.date.available2021-12-23T15:57:25Z-
dc.date.issued2013
dc.identifier.issn01640704
dc.identifier.urihttps://osnascholar.ub.uni-osnabrueck.de/handle/unios/2916-
dc.description.abstractCentral banks' foreign exchange holdings have increased significantly in the recent past. This article explains this development as a result of the liberalisation of international capital markets. First, central banks accumulate reserves in order to protect the economy from detrimental effects of sudden stops in capital flows and flow reversals. Second, central banks use the accumulation of reserves as a substitute for capital controls. Changes in reserves are a form to manage net capital inflows. They permit the central bank to preserve some leeway for an independent monetary and financial policy despite the classic policy trilemma. The empirical analysis of a large panel data set supports the hypothesis that the accumulation of reserves is the consequence of a ``fear of capital mobility'' suffered by central banks. (C) 2013 Elsevier Inc. All rights reserved.
dc.language.isoen
dc.publisherLOUISIANA STATE UNIV PR
dc.relation.ispartofJOURNAL OF MACROECONOMICS
dc.subjectACCOUNT LIBERALIZATION
dc.subjectBusiness & Economics
dc.subjectCapital mobility
dc.subjectEconomics
dc.subjectFINANCIAL GLOBALIZATION
dc.subjectFLOWS
dc.subjectGROWTH
dc.subjectInternational reserves
dc.subjectMacroeconomic trilemma
dc.subjectMODELS
dc.subjectOPTIMAL INTERNATIONAL RESERVES
dc.subjectPANEL-DATA
dc.subjectPOLICIES
dc.subjectSTABILITY
dc.subjectTRILEMMA
dc.titleThe accumulation of foreign exchange by central banks: Fear of capital mobility?
dc.typejournal article
dc.identifier.doi10.1016/j.jmacro.2013.08.002
dc.identifier.isiISI:000329594700019
dc.description.volume38
dc.description.issueB
dc.description.startpage409
dc.description.endpage427
dc.contributor.orcid0000-0001-9272-3262
dc.publisher.placeBATON ROUGE, LA 70893 USA
dcterms.isPartOf.abbreviationJ. Macroecon.
dcterms.oaStatusGreen Submitted
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