choices matter for output volatility and the medium-term level of inflation. Greater monetary independence is associated with … lower output volatility while greater exchange rate stability implies greater output volatility, which can be mitigated if a … inflation rate. We find that trilemma policy configurations affect output volatility through the investment or trade channel …

[Introduction ...] This paper examines the problems of the excessive volatility of capital inflows in emerging market …

In this paper, we examine the evolution of the S&P500 returns volatility around market crashes using a Markov …-Switching model. We find that volatility typically switches into the high volatility state well before a crash and remains in the high … volatility by uniformed traders result in a crash. …

authorities of the two countries. However, eliminating the excess volatility of the exchange rate does not significantly alter the … overall macroeconomic volatility. Second, a floating exchange rate regime based on a Taylor-type rule seems to better … approximate the full price stability benchmark, but at the cost of boosting interest rate volatility. In this respect limiting …