distortion, e.g., underutilization of capacity and real exchange rate misalignment. However, while under imperfect credibility … by imperfect credibility …

credibility of the crawling peg' and target zone ( maxiband') regimes governing the exchange rate. Since we do not impose an … one of the first to use options data from an emerging market, finds that target zone credibility was poor prior to …

occur for some levels of reserves or debt, but not for others. Lastly, we argue that the imperfect credibility of Mexican …

Realignment expectations which measure exchange rate credibility are analyzed for European exchange rates, using daily … expectations and macroeconomic variables, although there are signs that lower inflation improves credibility. Statistically, many … movements to realignment expectations are common to ERM participants. There were few indications of poor ERM credibility before …