Exchange Rates, Capital Flows, and Monetary Policy in a Changing World Economy

Preface. I. Exchange Rates and Monetary Policy. II. Optimal Exchange Rate Policy for Stabilizing Inflation in Developing Countries. Appendix: Exchange Rate Policy and Macroeconomic Stability. III. Exchange Rates and Economic Growth. Appendix: Description of the Data. IV. Speculative Attacks. Appendix: Foreign Exchange Hedging with Synthetic Options and the Interest Rate Defense of a Fixed-Exchange-Rate Regime; Peter M. Garber, Michael G. Spencer. V. Exchange Rates, Capital Flows, Monetary Policy and a Changing World Economy. VI. International Capital Flows: Direct vs. Portfolio Investment. Appendix A: A Survey of Academic Literature on Controls over International Capital Transactions; Michael P. Dooley. Appendix B: Are Recent Capital Inflows to Developing Countries a Vote For or Against Economic Policy Reforms? Michael P. Dooley. VII. Panel Discussion: Central Bank Coordination in the Midst of Exchange Rate Instability.