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Keywords:Mexico 

Journal Article
Establishment of temporary swap facility with Mexico

Federal Reserve Bulletin , Issue May , Pages 394

Journal Article
Mexico's integration into NAFTA markets: a view from sectoral real exchange rates

The authors use a threshold autoregressive model to confirm the presence of nonlinearities in sectoral real exchange rate dynamics across Mexico, Canada, and the United States for the periods before and after the North American Free Trade Agreement (NAFTA). Although trade liberalization is associated with reduced transaction costs and lower relative price differentials among countries, the authors find, by using estimated threshold bands, that Mexico still faces higher transaction costs than its developed counterparts. Other determinants of transaction costs are distance and nominal exchange ...
Review , Volume 91 , Issue Sep , Pages 441-464

Journal Article
Cuantos mojados?

FRBSF Economic Letter

Journal Article
Argentina, Mexico, and currency boards: another case of rules versus discretion

This article discusses currency boards in light of the recent economic experiences of Mexico and Argentina. Carlos Zarazaga argues that currency boards do not solve the important time inconsistency problem pointed out in the rules-versus-discretion literature. Because of this failure, even the quasi-currency board established by law (the so-called convertibility law) did not protect Argentina from one of its most severe financial crises in modern times. ; In addition, there is the normative issue of whether an ironclad rule such as a currency board rule is superior to a noncontingent one. ...
Economic and Financial Policy Review , Issue Q IV , Pages 14-24

Journal Article
Mexico's economy continues progress despite debt and inflation problems

Economics Update , Issue Jul , Pages 7, 10

Report
A self-fulfilling model of Mexico's 1994-95 debt crisis

This paper explores the extent to which the Mexican government's inability to roll over its debt during December 1994 and January 1995 can be modeled as a self-fulfilling debt crisis. In the model there is a crucial interval of debt for which the government, although it finds it optimal to repay old debt if it can sell new debt, finds it optimal to default if it cannot sell new debt. If government debt is in this interval, which we call the crisis zone, then we can construct equilibria in which a crisis can occur stochastically, depending on the realization of a sunspot variable. The size of ...
Staff Report , Paper 210

Fed’s 1994 Rate Aggressiveness Led to Emerging-Market Turmoil; Is This Time Different?

As the Federal Reserve embarks on a monetary tightening cycle, only a few spots of vulnerability have appeared among emerging markets.
Dallas Fed Economics

Journal Article
Lagging productivity gains restrain Mexico’s economic prospects

Investment, a large labor pool and proximity to the United States have helped propel Mexico’s economic fortunes. Dallas Fed economists Sewon Hur and Pia Orrenius discuss how improving productivity could propel Mexico beyond the ranks of middle-income nations.
Southwest Economy

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