Series: IMF Working Papers
Author(s): Ilan Goldfajn , and Rodrigo Valdes
Publisher: INTERNATIONAL MONETARY FUND
Publication Date: 01 July 1997
Keywords: exchange rate, capital inflows, capital outflows, capital flows, capital outflow
This paper develops a model that focuses on the interaction of liquidity creation by financial intermediaries with capital flows and exchange rate collapses. The intermediaries’ role of transforming maturiti...