2017年6月
A vehicle currency country's welfare under optimal monetary policy
JAPAN AND THE WORLD ECONOMY
- 巻
- 42
- 号
- 開始ページ
- 23
- 終了ページ
- 31
- 記述言語
- 英語
- 掲載種別
- 研究論文(学術雑誌)
- DOI
- 10.1016/j.japwor.2017.07.001
- 出版者・発行元
- ELSEVIER SCIENCE BV
This paper addresses the welfare consequences for a country issuing vehicle currency, in a standard two country dynamic general equilibrium model with price stickiness. Deriving optimal monetary policy rules and evaluating welfare under various assumptions regarding currencies for invoicing exports, this paper obtains analytical conditions under which use of vehicle currency in pricing exports actually benefits the vehicle currency country compared with a situation in which each country prices its exports in its own currency. Moreover, this paper numerically illustrates that there is a fairly broad parametrical range that leads to a case in which use of vehicle currency is preferred not only by the vehicle currency country, but also by the non-vehicle currency country. (C) 2017 Elsevier B.V. All rights reserved.
- リンク情報
- ID情報
-
- DOI : 10.1016/j.japwor.2017.07.001
- ISSN : 0922-1425
- eISSN : 1879-2006
- Web of Science ID : WOS:000408701900003