Guerami, Behrouz; Erbas, S. Nuri; Abed, George T. - International Monetary Fund (IMF) - 2003
We compare the dollar peg to a dollar-euro basket peg as alternative exchange rate regimes for the incipient Gulf Cooperation Council (GCC) currency union. Quantitative evidence suggests basket peg does not dominate dollar peg for improving external stability. However, as GCC exports and...