…recognized that this exchange rate would not work forever … Most people also realize that a large sudden revaluation would be bad for China. This is a gradual process. Too…

…And while the floating exchange rate policy tended to soften the amount of investment crowding-out by having a second transmission channel in terms of net export crowding-out, the same exchange…

…time of fixed exchange rates and gold standards, and has no application in today’s floating-exchange-rate world. To be fair, he continues: The true economic cost of Katrina is the real,…

…on the outing of Ms. Plame: But a key exchange on the Wilson trip did occur in the July 11, 2003 press gaggle aboard Air Force One with both Ari…

…some observers considering that an exchange rate of $1.10 to one euro is not out of the question in the near future: The euro continued to fall in European morning…

…altering exchange rates. Actually, it is the Chinese Central Bank managing the exchange rate, but Hanke sort of concedes the point arguing that allowing the yuan to float will likely…

…whether price elasticity is very high or not – that two propositions follow from his Keynesian model with flexible exchange rates: (1) foreign demand shocks so impact exchange rates that…

…absolutely refuse to let the exchange rate go. It will be interesting to see if they are still just as committed to that minimum exchange rate this time around. Kash…

…of Robert Mundell’s model that floating exchange rates insulate the economy from foreign demand shocks (see for example, here)? So why did not the weak foreign demand further devalue the…

Political Markets I’ve referred to the Iowa Electronic Markets on political futures in past posts. The exchange creates contracts that pay either $0 or $1, depending on what happens. For…