Real Exchange Rate Stabilisation and Managed Floating: Exchange Rate Policy in

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Dorothy F


Date added:

March 8, 2013








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5 / 1130


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This is tempered with purchasing power parity considerations as evidenced by the central bank's response to deviations of the spot rate from moving relative prices' target. This indicates a real exchange rate stabilisation policy by the Indian authorities. Keywords: Exchange rate; intervention; exchange rate management; purchasing power parity; real exchange rate; managed floating; exchange rate target; JEL Classification Nos...
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E 58, F3, F31 * The author is employed by the Reserve Bank of India and currently on deputation to ICRIER. The views expressed here are however, the author's own and not of the institution to which she belongs. The support of Ford Foundation is gratefully acknowledged. I am grateful to John Williamson, Montek Ahluwalia, Michael Melvin, Prof...
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