Borradores de Economia
Número:
934
Publicado:
Clasificación JEL:
C14, C21, C31, E58, F31
Palabras clave:
Sterilized Foreign Exchange Intervention, Portfolio Balance Channel, Uncovered Interest Rate Parity, Financial Constraints
Lo más reciente
Catalina Granda-Carvajal, Jesús Enrique Morales-Piñero
Elkin Navas-Diago, Jorge Quintero-Otero
Cristian David González-Téllez
In this paper we analyze the effects of nancial constraints on the exchange rate through the portfolio balance channel. Our contribution is twofold: First, we construct a tractable two-period general equilibrium model in which financial constraints inhi