IMF Policy Discussion Papers

International Capital Transactions: Should They Be Restricted?

By Norman S. Fieleke

December 1, 1993

Preview Citation

Format: Chicago

Norman S. Fieleke International Capital Transactions: Should They Be Restricted?, (USA: International Monetary Fund, 1993) accessed September 19, 2024

Summary

Some prominent economists and officials contend that government restrictions should be used to limit international capital movements that are considered destabilizing. This paper briefly summarizes the recent usage of such restrictions, discusses their international acceptance and their theoretical justification, reviews recent empirical studies of their efficacy, and examines their efficacy in Ireland, Spain, and Portugal during the latter part of 1992. The conclusion is that such restrictions typically have no more than fleeting and minor success in attaining their objectives.

Subject: Balance of payments, Capital controls, Capital flows, Currencies, Exchange rates, Financial services, Foreign exchange, Interbank rates, Money

Keywords: Capital, Capital control systems, Capital controls, Capital controls encounter, Capital flows, Capital surge, Capital transactions, Control, Currencies, Destabilizing capital movement, Europe, Exchange rates, Foreign exchange value, Interbank rates, Irish pound, Market participant, PDP, Portuguese escudo, Return

Publication Details

  • Pages:

    42

  • Volume:

    ---

  • DOI:

    ---

  • Issue:

    ---

  • Series:

    Policy Discussion Paper No. 1993/020

  • Stock No:

    PPIEA0201993

  • ISBN:

    9781451963892

  • ISSN:

    1564-5193