Joint research unit 7235

The importance of the exchange rate regime in limiting current account imbalances in sub-Saharan African countries

Blaise Gnimassoun

One of the major current concerns of economic policy in developing countries is the choice of the appropriate exchange rate regime to consolidate and accelerate the pace of economic growth. This paper aims to investigate whether the choice of a country’s exchange rate regime may affect current account imbalances for sub-Saharan African economies. To this end, we first use Bayesian model averaging (BMA) to address concerns about model uncertainty and identify the key determinants (fundamentals) of external balances. Then, estimating current account imbalances over the 1980-2012 period, we show that flexible exchange rate regimes are more effective in preventing such disequilibria. Consequently, candidates for membership of monetary unions should discuss widely the possible adjustment mechanisms before forming such unions; one potential measure being the sharing of external risks at regional level

AGENDA

Tuesday 5 December 2023

Recherche et Economie et Socioéconomie Politique, des Institutions et des Régulations (RESPIR)

Clément Fontan (UC Louvain)

The ECB and the inflation monsters: strategic framing and the responsibility imperative (1998-2023)

Tuesday 5 December 2023

The ECB and the inflation monsters: strategic framing and the responsibility imperative (1998-2023)

Clément Fontan (UC Louvain)

The ECB and the inflation monsters: strategic framing and the responsibility imperative (1998-2023)

Thursday 7 December 2023

Groupe de travail Economie Comportementale

Vincent Lenglin (Université Catholique de Lille)

TBA

Thursday 7 December 2023

TBA

Vincent Lenglin (Université Catholique de Lille)

TBA

Thursday 7 December 2023

Explaining economic performances in the French employment zone: spatial externalities and related variety

Emmanuelle Faure

Explaining economic performances in the French employment zone: spatial externalities and related variety

Thursday 7 December 2023

Doctorants

Emmanuelle Faure

Explaining economic performances in the French employment zone: spatial externalities and related variety

Monday 11 December 2023

Law, Institutions and Economics in Nanterre (LIEN)

Bastien Michel (LEMNA, Nantes)

Measuring the Impact of Incarceration on Recidivism in Denmark

Monday 11 December 2023

Measuring the Impact of Incarceration on Recidivism in Denmark

Bastien Michel (LEMNA, Nantes)

Measuring the Impact of Incarceration on Recidivism in Denmark

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