Original scientific paper

Exchange rate regimes and monetary arrangements

Ivan Ribnikar

Abstract

There is a close relationship between a country’s exchange rate regime and monetary arrangement and if we are to examine monetary arrangements then exchange rate regimes must first be analysed. Within the conventional and most widely used classification of exchange rate regimes into rigid and flexible or into polar regimes (hard peg and float) on one side, and intermediate regimes on the other there, is a much greater variety among intermediate regimes. A more precise and, as will be seen, more useful classification of exchange rate regimes is the first topic of the paper. The second topic is how exchange rate regimes influence or determine monetary arrangements and monetary policy or monetary policy regimes: monetary autonomy versus monetary nonautonomy and discretion in monetary policy versus commitment in monetary policy. Both topics are important for countries on their path to the EU and the euro area

Keywords

Exchange rate regimes; monetary arrangements; discretion v. commitment in monetary policy

Hrčak ID:

6978

URI

https://hrcak.srce.hr/6978

Publication date:

24.6.2005.

Article data in other languages: croatian

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