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- W1571269966 abstract "The paper is organised as follows: section II provides a brief description of the relevant history and the institutional setup. Section III discusses how the non-intervention policy enhanced the credibility of the inflation targeting framework, thereby increasing the effectiveness of monetary policy. Section IV describes how, as a result of non-intervention, the foreign exchange market has developed and learned to cope with foreign exchange uncertainty, thus increasing the resilience of Israel’s financial system. Section V discusses how the non-intervention policy (and the policy of promoting the development of financial markers) led to greater discipline being imposed by financial markets on policy makers. Section VI describes conditions under which foreign exchange intervention might be useful. Section VII offers a conclusion." @default.
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- W1571269966 date "2005-01-01" @default.
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- W1571269966 title "Approaching a decade of no foreign exchange intervention - lessons from Israel" @default.
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