Liberalizing Capital Movements:Some Analytical Issues

Author/Editor: Eichengreen, Barry J. ; Mussa, Michael ; Dell'Ariccia, Giovanni ; Detragiache, Enrica ; Milesi-Ferretti, Gian Maria ; Tweedie, A. J.
Publication Date: August 04, 2000
Electronic Access: Free Full text

Summary: This paper addresses the potential gains and risks of open capital markets by first looking at what classical economic theory suggests about the benefits of capital mobility and then examining the counterarguments arising from problems of incomplete information and other distortions. It shows that the risks of removing controls on flows of capital across national borders are similar to those associated with removing controls on domestic financial institutions. The paper then explores how to manage liberalization to minimize the risks and maximize the benefits.
Series: Economic Issues No. 17
Subject(s): Capital flows

Publication Date: August 04, 2000
ISBN/ISSN: ISBN 1-55775-895-6 ; ISSN 1020-8402 Format: ¬
Stock No: EIIZA0171996
Publication Date: March 16, 1999
ISBN/ISSN: ISBN 1-55775-792-5 ; ISSN 1020-5098 Format: Paper
Stock No: EIIEA0171996 Pages: 19
Please address any questions about this title to