A panel-data analysis of interest rates and dollarization in Brazil
We investigate the role of financial dollarization and systemic risks in the determination of real interest rates in Brazil. In a simple currency-choice portfolio model, we show that a strategy of reducing dollarization, if it fails to address fundamental macroeconomic risks, leads to higher domesti...
| Main Authors: | , , |
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| Format: | Article |
| Language: | English |
| Published: |
Fundação Getúlio Vargas
2009-12-01
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| Series: | Revista Brasileira de Economia |
| Subjects: | |
| Online Access: | http://www.scielo.br/scielo.php?script=sci_arttext&pid=S0034-71402009000400003 |