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A rigorous theoretical and empirical analysis of how interest rates, exchange rates, and world monetary policy interact in a global economy. Floyd examines real exchange rate determination for major industrial countries and assesses the effects of real and monetary shocks, drawing on econometric evidence and VAR analysis. The book discusses implications for national monetary policy coordination, exchange rate overshooting, and the role of real economic factors such as growth rates, technology, terms of trade, and investment flows in shaping real exchange rates and monetary outcomes.
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Publisher: Springer Berlin Heidelberg
Publishing Year: 2010
ISBN: 9783642102790
Pages: 404