United States : Background Papers

Author/Editor:

International Monetary Fund

Publication Date:

October 3, 1995

Summary:

This Background Paper on the United States examines the effect of fiscal deficit reduction in the context of the IMF’s multicountry simulation model, on the current account and the real exchange rate. The simulations suggest that, other things being equal, fiscal consolidation will tend to cause the real exchange rate to depreciate in the short term. The paper also estimates a long-term relationship between the real effective exchange rate for the U.S. dollar and a number of variables.

Series:

Country Report No. 95/94

Subject:

Notes:

These background papers on the United States were prepared by a staff team of the International Monetary Fund as background documentation for the periodic consultation with this member country. In releasing this document for public use, confidential material may have been removed at the request of the member.

English

Publication Date:

October 3, 1995

ISBN/ISSN:

9781451839470/1934-7685

Stock No:

1USAEA0011995

Price:

$15.00 (Academic Rate:$15.00)

Format:

Paper

Pages:

198

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