<abstract xmlns="http://www.w3.org/1999/xhtml"><p> The main objective of the paper is to verify the vanishing interim regime hypothesis (so-called bipolar view) and to analyse factors that may influence the probability of use of intermediate exchange rate regimes, especially in emerging and developing economies. In order to accomplish the research objectives the evolution of exchange rate regimes is presented with the special consideration of decisions of IMF member states in this respect. Next a logistic regression model that estimates the probability of use of an intermediate regime is applied. The results achieved allow a challenge to the vanishing interim regime hypothesis. Empirical observations support this hypothesis only in advanced countries and not in their emerging and developing peers.</p></abstract>

The main objective of the paper is to verify the vanishing interim regime hypothesis (so-called bipolar view) and to analyse factors that may influence the probability of use of intermediate exchange rate regimes, especially in emerging and developing economies. In order to accomplish the research objectives the evolution of exchange rate regimes is presented with the special consideration of decisions of IMF member states in this respect. Next a logistic regression model that estimates the probability of use of an intermediate regime is applied. The results achieved allow a challenge to the vanishing interim regime hypothesis. Empirical observations support this hypothesis only in advanced countries and not in their emerging and developing peers.

Choosing the exchange rate regime–a case for intermediate regimes for emerging and developing economies

Economics and Business Review

This work is licensed under the Creative Commons Attribution-NonCommercial-NoDerivatives 4.0 License.

The main objective of the paper is to verify the vanishing interim regime hypothesis (so-called bipolar view) and to analyse factors that may influence the...

Choosing the exchange rate regime–a case for intermediate regimes for emerging and developing economies

Published Online: Nov 22, 2018

Page range: 46 - 63

Received: Mar 06, 2018

Accepted: Sep 24, 2018

DOI: https://doi.org/10.18559/ebr.2018.4.3

Keywords
bipolar view, exchange rate regimes, monetary policy, vanishing interim regime hypothesis

© 2018 Michał Jurek, published by Sciendo

This work is licensed under the Creative Commons Attribution-NonCommercial-NoDerivatives 4.0 License.

Choosing the exchange rate regime–a case for intermediate regimes for emerging and developing economies

Published Online: Nov 22, 2018

Page range: 46 - 63

Received: Mar 06, 2018

Accepted: Sep 24, 2018

DOI: https://doi.org/10.18559/ebr.2018.4.3

Keywordsbipolar view, exchange rate regimes, monetary policy, vanishing interim regime hypothesis

© 2018 Michał Jurek, published by Sciendo

This work is licensed under the Creative Commons Attribution-NonCommercial-NoDerivatives 4.0 License.

Keywords
bipolar view, exchange rate regimes, monetary policy, vanishing interim regime hypothesis