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Capital Flows, Financial Integration, and International Reserve Holdings :, The Recent Experience of Emerging Markets and Advanced Economies, Sunil Sharma, Woon Choi, Maria Strömqvist

Label
Capital Flows, Financial Integration, and International Reserve Holdings :, The Recent Experience of Emerging Markets and Advanced Economies, Sunil Sharma, Woon Choi, Maria Strömqvist
Language
eng
Abstract
This paper examines the interaction between capital flows and international reserve holdings in the context of increasing financial integration. For emerging markets the sensitivity of reserves to net capital flows was negative in the 1980s, but became positive after the Asian crisis when these countries used net capital flows to build up reserves. For advanced countries, net capital flows had a negative effect on reserves, especially in recent years. Using measures of financial globalization, we also provide evidence that the sensitivity of reserves to net capital flows increased with globalization for emerging markets while it decreased for advanced countries
resource.governmentPublication
international or intergovernmental publication
Literary Form
non fiction
Main title
Capital Flows, Financial Integration, and International Reserve Holdings :
Nature of contents
dictionaries
Responsibility statement
Sunil Sharma, Woon Choi, Maria Strömqvist
Series statement
IMF Working Papers
Sub title
The Recent Experience of Emerging Markets and Advanced Economies
Table Of Contents
Contents; I. Introduction; II. Determinants of International Reserves; A. Buffer Stocks and Precautionary Motive; B. Other Considerations; C. Capital Flows and Financial Integration; III. Data and Descriptive Statistics; Figures; 1. Foreign Reserves, Net Capital Flows, and Current Accounts; 2. Reserves-to-GDP Ratio: Changes in the Distribution; IV. Empirical Results; A. Baseline Regressions; 3. Variability in Net Capital Flows and Current Accounts; Tables; 1. Baseline Regressions; B. Estimating the Effects of Financial Integration; 4. Measures of Financial Integration2. Regression Model 1: The Effects of Capital Flows over Three Sub periods3. Regression Model 2: The Effects of Capital Flows over Four Sub periods; 4. Regression Model 3: Capital Flow and Financial Integration; C. Effects of World Interest Rates and Exchange Rate Regimes; 5. Regression Model 2 with World Interest Rates; 5. Reserves-to-GDP Ratio by Exchange Rate Regime Type; 6. Regression Model 2 with Exchange Rate Regimes; D. Dynamic Panel Regressions for International Reserve Holdings; 7. Dynamic Panel Regressions; V. Conclusion; References; Appendix; A. Country Group ListB. Descriptive Statistics and CorrelationsC. Additional Regressions
Content
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