Living and Dying with Hard Pegs : The Rise and Fall of Argentina's Currency Board

The rise and fall of Argentina's currency board shows the extent to which the advantages of hard pegs have been overstated. The currency board did provide nominal stability and boosted financial intermediation, at the cost of endogenous financ...

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Bibliographic Details
Main Authors:	De la Torre, Augusto, Levy Yeyati, Eduardo, Schmukler, Sergio L.
Format:	Policy Research Working Paper
Language:	English en_US
Published:	World Bank, Washington, DC 2014
Subjects:	AFFILIATES AGGREGATE DEMAND ARGENTINE PESO ASSET SUBSTITUTION BAD LOANS BALANCE SHEET BALANCE SHEETS BANK ACCOUNTS BANK ASSETS BANK DEPOSITS BANK FAILURES BANK REGULATION BANK RISK BANK RUN BANKING CRISIS BANKING SECTOR BANKING SYSTEM BANKRUPTCY BANKS BENCHMARK BRAZILIAN REAL CAPITAL FLOWS CAPITAL INFLOWS CAPITAL REQUIREMENTS CENTRAL BANK CENTRAL BANK AS LENDER CLOSED ECONOMY CONSOLIDATION CONTAGION CONVERTIBILITY COST OF CAPITAL COUNTRY RISK CREDIT RISK CREDITOR CREDITOR RIGHTS CURRENCY CURRENCY BOARD CURRENCY BOARDS CURRENCY CRISIS CURRENCY MISMATCH CURRENCY OF DENOMINATION CURRENCY RISK CURRENCY SUBSTITUTION CURRENT ACCOUNT DEBT DEBT SERVICE DEFAULT RISK DEMAND DEPOSITS DEREGULATION DEVALUATION DOLLAR DEPOSITS DOMESTIC CURRENCY DOMESTIC MARKETS EMERGING ECONOMIES EURO EXCHANGE RATE EXCHANGE RATE ADJUSTMENTS EXCHANGE RATE FLEXIBILITY EXCHANGE RATE REGIME EXCHANGE RATE REGIMES EXCHANGE RATE RISK EXPORTS EXTERNAL DEBT EXTERNAL SHOCKS FINANCIAL ASSETS FINANCIAL CONTRACTS FINANCIAL CRISIS FINANCIAL DEEPENING FINANCIAL INSTABILITY FINANCIAL INTERMEDIATION FINANCIAL MARKETS FINANCIAL SECTOR FINANCIAL SYSTEM FINANCIAL TRANSACTIONS FISCAL SPENDING FISCAL SURPLUS FISCAL SUSTAINABILITY FLOATING MONEY FOREIGN BANKS FOREIGN CURRENCY FOREIGN EXCHANGE FOREIGN EXCHANGE RISK GDP GOVERNMENT BONDS GOVERNMENT DEBT INCOME INDIVIDUAL BANK INFLATION INTEREST RATE INTEREST RATES INTERMEDIATION INTERNATIONAL CURRENCY INTERNATIONAL RESERVES LABOR MARKETS LENDER OF LAST RESORT LIQUIDITY LOAN CLASSIFICATION LOAN PORTFOLIO MACROECONOMICS MARGINAL COST MATURITIES MORTGAGE LOANS MULTIPLE EQUILIBRIA NOMINAL DEVALUATION NOMINAL EXCHANGE RATE NOMINAL FLEXIBILITY OPEN ECONOMIES OVERVALUATION PEGS PESOS PRIVATE BANKS PROPERTY RIGHTS PUBLIC DEBT RATING AGENCIES REAL EXCHANGE RATE REGULATORY FRAMEWORK RESERVE REQUIREMENTS REVALUATION SAVINGS SAVINGS DEPOSITS SOLVENCY STORE OF VALUE TAX REFORM TIME DEPOSITS TRANSPARENCY TREASURY TREASURY BONDS UNEMPLOYMENT WAGES CURRENCY BOARDS MONETARY LAW MONETARY POLICY POLITICAL ASPECTS CURRENCY DEVALUATION CURRENCY FLUCTUATION CURRENCY ISSUANCE CURRENCY REPEGS EXCHANGE RATE INSTABILITY DOLLAR STANDARD FLOATING EXCHANGE RATES CURRENCY MARKETS DEPOSIT-REFUND SYSTEM PESO ARGENTINO BANKING REFORM WAGES
Online Access:	http://documents.worldbank.org/curated/en/2003/03/2166846/living-dying-hard-pegs-rise-fall-argentinas-currency-board http://hdl.handle.net/10986/19040