Using a new, large data set on quarterly reserve requirements for the period 1970-2011, this paper provides new evidence on the use of reserve requirements as a countercyclical macroprudential tool in developing countries. The appeal of reserve requirements lies in the pro-cyclical behavior of...

China’s transformation into a dynamic private-sector-led economy and its integration into the world economy have been among the most dramatic global economic developments of recent decades. This paper provides an overview of some of the key aspects of recent developments in China’s...

This paper investigates a monetary model of exchange rate determination: an extension of the Krugman basic target zone model with price inertia applied to the French Franc. We consider a novel theoretical argument, the Threshold Cointegration, such that the long-run relationship between the...