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Source: Capital Inflows and the Real Exchange Rate : Can Financial Development Cure the Dutch Disease?
Series: IMF Working Papers
Author(s): Christian Saborowski
Publisher: INTERNATIONAL MONETARY FUND
Publication Date: 01 January 2009
Keywords: Financial Market Development, Real Exchange Rate, Dynamic Panel Data Models, exchange rate, stock market,
This paper argues that, in improving the efficient allocation of resources, financial sector development could dampen the appreciation effect of capital inflows. Using dynamic panel data techniques, the paper finds...