The interdependence of the Japanese economy with the world economy can be seen in Japan's balance of payments and major structural changes in the post-war years. Extremely strict foreign exchange controls were introduced after the Second World War but they have gradually been deregulated since....

This paper tries to explain large exchange rate swings and persistent balance of payments imbalances among major countries in the 1980s. With a simple two-country model, we illustrate that the behavior of the real exchange rate and the current account depends importantly on the degree of...

For risk control purposes, the foreign exchange position of banks is often divided into two: the dealing position and the structural position. This paper analyzes the reasons for such a separation and demonstrates that the claims and obligations that are treated as structural have different risk...