policyandcoordination(国际金融(香港大学,wong资料.ppt

Macroeconomic Policy and Coordination Under Floating Exchange Rates WONG Ka Fu 19 March 2001 Gold standard 1870 - 1914 Central banks peg the prices of their currencies in terms of gold, and hold gold as official international reserves. Exchange rates among countries are fixed due to arbitrage. Advantage of gold standard Limit the extent to which the central banks can cause increase in national price levels through expansionary monetary policies. These limits make the real national monies more stable and predictable, thereby enhancing the transaction economies arising from the use of money. Di