Korea faces a number of unique problems that affect its exchange rate policy. Among these are its asymmetric competitive position vis-…-vis Japan, which is both its major supplier of machine tools and a leading competitor in third markets; the current policy of financial liberalization that...

This paper takes another look at the portfolio theory of exchange rate behavior, using a survey-based definition of the risk premium and measuring the portfolio variable by the net stock of foreign assets. The model relates the risk premium to net foreign assets, together with related equations...

Korea faces a number of unique problems that affect its exchange rate policy. Among these are its asymmetric competitive position vis-...-vis Japan, which is both its major supplier of machine tools and a leading competitor in third markets; the current policy of financial liberalization that...

This volume, presenting some of the finest new research on exchange rates and international macroeconomics, contains papers and critical commentary by thirty-two leading economists. Taken together, these papers provide sound evidence about the effects of real and monetary factors on exchange...

The exchange rate is a crucial variable linking a nation's domestic economy to the international market. Thus choice of an exchange rate regime is a central component in the economic policy of developing countries and a key factor affecting economic growth. Historically, most developing nations...