In this prescient book, expert contributors from academic and policymaking circles explore dollarization in both theoretical and practical terms. They provide a fundamental resource for understanding the many forms in which dollarization can occur.
Central Banking, Monetary Policy and the Political Economy of Dollarization analyzes important case studies from across continents including Africa, the Americas, Asia, and Europe. Through these findings, the book examines the political economy aspects of dollarization, critically assessing its potential outcomes. Contributors consider the role of central banks in dollarization, and provide a new perspective on the study of the phenomenon for a contemporary readership.
This book is beneficial to academics and students focusing on economic disciplines such as financial regulation, banking, political economy and post-Keynesian economics. Central bankers and those working in the financial press will also find it useful.
In this prescient book, expert contributors from academic and policymaking circles explore dollarization in both theoretical and practical terms. They provide a fundamental resource for understanding the many forms in which dollarization can occur.
Arvustused
The dollar is the key global currency. In a broad sense, the world is dollarized since most financial and trade transactions are denominated in that currency, and central banks and other agents hold their reserves in dollars. However, many countries have adopted the dollar as their currency. This book gathers a dream team of specialists on the cases of dollarization, both formal and informal, and similar processes like the adoption of the euro, around the globe. It is a must read, since the dominant role of the dollar and dollarization are not going to subside any time soon. -- Matías Vernengo, Bucknell University, USA The international economy in recent years has been dominated by a process of de-globalization and an attempt to move away from an international monetary order dominated by the US dollar. In contrast, we see countries, such as Argentina, now politically embracing dollarization, while others adopting private denationalised cryptocurrencies. The Kappes-Arauz book offers crucial insights to various aspects of dollarization in the world today, from theory to historical/institutional analysis, thereby making this book essential reading for advanced researchers and policymakers alike. -- Mario Seccareccia, University of Ottawa, Canada
Contents
Introduction to Central Banking, Monetary Policy and the Politcal
Economy of Dollarization 1
Sylvio Kappes and Andrés Arauz
PART I THEORETICAL CONSIDERATIONS
1 The political economy of dollarization and its discontents 7
Sergio Rossi
2 How economic crises have strengthened the role of the United
States dollar and its implications for developing economies 19
Esteban Pérez Caldentey
PART II DOLLARIZATION IN LATIN AMERICA
3 Dollarization and the macroeconomic and fiscal performance
of the dollarized countries of Latin America 50
Cindy Gianella Tutiven Desintonio
4 Financial de-dollarization in Argentina when the wind
always blows from the East 109
Eduardo A. Corso and Máximo Sangiácomo
5 Dollarization, private banking and financial profitability in
Ecuador 145
Monika Meireles and Gabriela Rivera
6 Two decades of dollarization in El Salvador: pains and gains
in a road less traveled 166
Juan Carlos Moreno-Brid, Rodrigo Morales-López and
Edgar Francisco Pérez-Medina
7 The political economy of Panamas dollarized interbank
market 183
Andrés Arauz
PART III DOLLARIZATION IN AFRICA
8 Dollarization in anglophone West African countries: a case
study of Nigeria and Ghana 218
Salewa Olawoye and Emmanuel Graham
PART IV DOLLARIZATION IN ASIA
9 Determinants of dollarization in Vietnam 236
Pham Thi Hoang Anh
PART V EUROIZATION
10 Montenegro and the Euro: implications for policy space 258
Lara Merling
11 The costs and the resilience of unilateral dollarization: the
case of euroization in Kosovo 278
Jean-François Ponsot
12 Why and how to start a national parallel digital currency in
Italy, and why it would work fast 294
Trond Andresen
Edited by Sylvio Antonio Kappes, Assistant Professor, Federal University of Alagoas, Brazil, Co-Editor, Review of Political Economy and Co-Director, Monetary Policy Institute and Andrés Arauz, Senior Research Fellow, Center for Economic and Policy Research, USA
