Matches in SemOpenAlex for { <https://semopenalex.org/work/W2938121333> ?p ?o ?g. }
Showing items 1 to 62 of
62
with 100 items per page.
- W2938121333 abstract "Recent research recognize that two balance sheet constraints can be of particular concern for an independent central bank: central bank equity cannot turn negative without any political and credibility risk, and central banks should avoid going insolvent if they want to maintain control over inflation. In this paper, we analyze how such constraints can weigh on a central bank's decision to exit a temporary currency peg, such as the one put in place in Switzerland between 2011 and 2015. We show that negative equity or insolvency concerns can force a central bank to exit such a peg earlier than it would have done absent such concerns. We detail under which conditions such reasoning can apply for a traditional inflation-averse central bank. We then build an exchange market pressure model fi tting with current peg reality to forecast both the central bank future bond holdings under a peg as well as its future losses. Applying our model to the Swiss franc peg, we show that negative equity concerns could have motivated the Swiss central bank early and puzzling peg exit in 2015, thereby providing a potential explanation for the Frankenshock. ECB QE policy appears as a potential key driver of this decision. The paper adds to the literature on the limits of foreign exchange interventions for the particular case of central banks fi ghting appreciation pressures, which is a highly under-researched area." @default.
- W2938121333 created "2019-04-25" @default.
- W2938121333 creator A5015053292 @default.
- W2938121333 creator A5080920644 @default.
- W2938121333 date "2019-01-01" @default.
- W2938121333 modified "2023-09-28" @default.
- W2938121333 title "How Can Financial Constraints Force a Central Bank to Exit a Currency Peg? An Application to the Swiss Franc Peg" @default.
- W2938121333 cites W1518568748 @default.
- W2938121333 cites W1853130581 @default.
- W2938121333 cites W2009492905 @default.
- W2938121333 cites W2035891049 @default.
- W2938121333 cites W2048093300 @default.
- W2938121333 cites W2346843540 @default.
- W2938121333 cites W2741237984 @default.
- W2938121333 cites W3122362347 @default.
- W2938121333 cites W3122674542 @default.
- W2938121333 cites W3122842286 @default.
- W2938121333 cites W3122904373 @default.
- W2938121333 cites W3123164204 @default.
- W2938121333 cites W3124994600 @default.
- W2938121333 cites W3125259529 @default.
- W2938121333 cites W3188358357 @default.
- W2938121333 cites W2144841240 @default.
- W2938121333 doi "https://doi.org/10.2139/ssrn.3360443" @default.
- W2938121333 hasPublicationYear "2019" @default.
- W2938121333 type Work @default.
- W2938121333 sameAs 2938121333 @default.
- W2938121333 citedByCount "0" @default.
- W2938121333 crossrefType "journal-article" @default.
- W2938121333 hasAuthorship W2938121333A5015053292 @default.
- W2938121333 hasAuthorship W2938121333A5080920644 @default.
- W2938121333 hasConcept C10138342 @default.
- W2938121333 hasConcept C141121606 @default.
- W2938121333 hasConcept C144133560 @default.
- W2938121333 hasConcept C162324750 @default.
- W2938121333 hasConcept C54400483 @default.
- W2938121333 hasConcept C556758197 @default.
- W2938121333 hasConcept C73283319 @default.
- W2938121333 hasConceptScore W2938121333C10138342 @default.
- W2938121333 hasConceptScore W2938121333C141121606 @default.
- W2938121333 hasConceptScore W2938121333C144133560 @default.
- W2938121333 hasConceptScore W2938121333C162324750 @default.
- W2938121333 hasConceptScore W2938121333C54400483 @default.
- W2938121333 hasConceptScore W2938121333C556758197 @default.
- W2938121333 hasConceptScore W2938121333C73283319 @default.
- W2938121333 hasLocation W29381213331 @default.
- W2938121333 hasOpenAccess W2938121333 @default.
- W2938121333 hasPrimaryLocation W29381213331 @default.
- W2938121333 hasRelatedWork W1980439124 @default.
- W2938121333 hasRelatedWork W2034170613 @default.
- W2938121333 hasRelatedWork W2791988446 @default.
- W2938121333 hasRelatedWork W2958537070 @default.
- W2938121333 hasRelatedWork W3082385817 @default.
- W2938121333 hasRelatedWork W3123313930 @default.
- W2938121333 hasRelatedWork W3124573072 @default.
- W2938121333 hasRelatedWork W3124651107 @default.
- W2938121333 hasRelatedWork W3198649105 @default.
- W2938121333 hasRelatedWork W641991874 @default.
- W2938121333 isParatext "false" @default.
- W2938121333 isRetracted "false" @default.
- W2938121333 magId "2938121333" @default.
- W2938121333 workType "article" @default.