Business Case Studies, Monetary Policy Case Study, Monetary Policy Case Study, Currency pegging

print page
Tell A Friend
Bookmark
 

Case Categories

Monetary Policy Case Study

IBS CDC IBS CDC IBS CDC IBS CDC RSS Feed
Case Title:

Currency Pegging

Publication Year : 2004

Authors: N Bhavika, G Srikanth

Industry: General Business

Region:Global

Case Code: MOP0003

Teaching Note: Available

Structured Assignment: Available

Buy This Case StudyOR





Abstract:
From 1870 to 1914, countries all over the world followed the gold standard system, where all the currencies were linked to gold. After World War II, the Bretton Woods system was introduced, where all the currencies were fixed against the US dollar. In 1971, the Bretton Woods system was abandoned because of wide spread inflation all over the world. Most of the developing countries continued to peg, either to the US dollar or to the French franc. By the late 1970s, many countries had shifted from single currency pegs to pegs defined in terms of basket of currencies. After the Asian crisis of 1997-1998, many countries like Russia, Brazil, Ecuador, Thailand and Korea shifted from a pegged exchange rate system to the floating rate system. Whereas countries like China, Malaysia and Bolivia continued with the pegged system.

Pedagogical Objectives:

    To discuss the meaning, efficacy and ramifications of having a fixed exchange rate system and a floating exchange rate system.

Keywords : Currency pegging, Bretton Woods system, Basket of currencies, Special drawing rights, Pegged exchange rates, Bank Negara, Malaysian dollar ringgit, Convertibility Law, Domingo Cavallo, Monetary Policy Case Study, South American countries, Fiscal deficits, Monetary and fiscal policies, People's bank of China, World Trade Organisation, Foreign currency reserves

Recently Bought Case Studies

    Recently Bought Case Studies
advertisement

    Executive Interviews

  • David ConklinDavid Conklin

    David Conklin, is a professor at the Richard Ivey School of Business
    Speaks on Government and Business
  • Lord Meghnad DesaiLord Meghnad Desai

    Lord Meghnad Desai, is an Indian-born British economist and Labor politician
    Speaks on Government and Business
  • Vijay GovindarajanVijay Govindarajan

    Vijay Govindarajan, is widely regarded as one of the world’s leading experts on strategy and innovation
    Speaks on Reverse Innovation
  • View All Executive Interviews»


Contact us: IBS Case Development Centre, Survey No. 156/157, Dontanapalli Village, Shankerpalli Mandal, Ranga Reddy District, Hyderabad-501504, Andhra Pradesh, INDIA, Phone: 08147-236660/61/62/72, Fax: 08147-236653,E-mail: casehelpdesk@ibsindia.org

©2003-2013 IBS Case Development Centre. All rights reserved. | Careers | Privacy Policy | Terms of Use | Disclosure | Site Map xml sitemap