Fixed and Flexible Exchange Rate Regimes: Which is Best? Do Fix Rates Lead to Currency Crises ?


An argument in favor of flexible exchange rates: Floating Exchange Rates: The Only Viable Solution

An argument in favor of fixed exchange rates: A Case for Fixing Exchange Rates, 1989 Annual Report of the Minneapolis Fed

An argument for a mixed regime (a modified floating regime): A Modified Float: The Clear Choice

A comparison of Mexican and Argentinean exchange rate regime favoring a strict fixed rate regime (i.e. an Argentinean style of Currency Board): A Tale of Two Pesos: A Comparison of Currency Policies In Mexico and Argentina

The Economist on Currency Boards

How to get out of a fix rate regime (The Economist)

The IMF on the relative merits of fixed versus flexible rate regimes (1)

The IMF on the relative merits of fixed versus flexible rate regimes (2)

An article by Jeffrey Sachs on the causes of the Asian crisis

A series of articles from the Wall Street Journal on the benefits of fixed exchange rates and currency boards
WSJ on benefits of Fixed Rates
WSJ on more benefits of Fixed Rates
Benefits of Currency Boards (Hanke in WSJ)
Benefits of Currency Boards (Melloan in WSJ)
The benefits of currency stability (Malpass inWSJ 12/96)
Mexico and Hong Kong (Bartley on WSJ)
Inflationary Effects of Devaluations in HK (WSJ)
A Critique of the IMF (Hanke in WSJ)

Other Readings
Krugman on the Asian Crisis - August 14, 1997
Economic Scene: Monetary Fund's Rescue Package for Thailand May be Too Late
Analysis: Thailand Ignored Painful Lessons of Mexico
Martin Wolf: The real lesson from Asia (Financial Times)
Currencies of the World
FRBSF: Economic Letter (4/19/96)
The Mexican Peso Crisis
TND May/June 1996 -- How IS NAFTA Doing?

ADT - Crashes A-Z
Author: Nouriel Roubini, Stern School of Business, NYU.