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describes an open economy, with capital accumulation, and where nominal rigidities are present. The model shows that previous … findings drawn from open economy models—in particular with respect to the characteristics of optimal monetary policy—do not …
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This paper studies the effects of financial liberalization and banking crises on growth. It shows that financial liberalization spurs on average economic growth. Banking crises are harmful for growth, but to a lesser extent in countries with open financial systems and good institutions. The...
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