Since the early 1990s some industrialized economies have implemented a monetary policy regime shift known as inflation targeting. This shift was justified by the difficulties posed by targeting the nominal exchange rate, or in some instances money supply. Given the very encouraging experience of...

This study examines some of the factors that may constitute the main determinants of the dollar-euro exchange rate. The implications of the introduction of the single currency in Europe on Mediterranean central banks reserves and foreign external liabilities are examined, along with trade and...

We investigate the performance and risk in two prominent countries in the MENA region, Egypt and Lebanon, where banks operate under market-oriented economic regimes. The study covers the 1990?s, a period that witnessed banking sector reforms towards a more efficient financial system. Noting the...

Are stock market returns mean-reverting in the region? Mean reversion in a stock market suggests that bad returns are likely to be followed by periods of good returns. By contrast, in a random walk setting, the future is a flip of a coin, regardless of the return outcomes in earlier periods. An...

Using panel data regression models this study examines empirically the impact of regional and international financial integration on macroeconomic volatility in the developing economies of the MENA region over the period 1980-2002. Our empirical results indicate that financial openness is...