Early in 2000, Ecuador, confronted with a serious economic crisis, adopted the US dollar as its national currency, This book examines the conditions that led to this action, describing the repeated cycles of crisis and failed stabilization that fatally undermined confidence in the Ecuadorian...

This volume provides a rigorous and balanced perspective on the causes and implications of dollarization, and the basic policies and options to deal with it: the adaptation of the monetary and prudential frameworks, the development of local-currency substitutes, and the scope for limiting...

Intro -- Contents -- Preface -- Abbreviations -- 1 Crisis and Dollarization: An Overview -- 2 Longer- Term Origins of Ecuador's ÏPredollarizationÓ Crisis -- 3 Ecuador under Dollarization: Opportunities and Risks -- 4 Ecuador: Crisis, Poverty, and Social Protection -- 5 Gender Dimensions of...