This paper examines capital account policy choices in an innovative model with adaptive learning under uncertainty. In the model, countries' past experiences and IMF programs influence policymakers' beliefs about impact of capital account liberalization on growth, taking into account constraints...

Zimbabwe faces growth and external competitiveness challenges, as indicated by its low trend growth and investment, declining share in the world exports, high current account deficits, and external debt. The stock-flow approach to the equilibrium exchange rate reveals that the real exchange rate...