How should monetary policy be optimally designed in an environment with high degrees of financial globalization? To … answer this question we lay down an open economy model where net lending toward the rest of the world is constrained by a … versus pegged) shows that the impossible trinity is reversed: a higher degree of financial globalization, by inducing more …

An important aspect of the globalization process is the increase in interdependence among countries through the … of firms. We present an extension of Dornbusch (1987)’s model to analyze the extent to which globalization, interpreted …"An important aspect of the globalization process is the increase in interdependence among countries through the …