Precautionary Reserves: An Application To Bolivia
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| Originally published | 2010 |
| Authors | Fabian Valencia |
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| ID | 2529934 |
About Precautionary Reserves: An Application To Bolivia
Using precautionary savings models we compute levels of optimal reserves for Bolivia. Because of Bolivia''s reliance on commodity exports and little integration with capital markets, we focus on current account shocks as the key balance of payments risk. . . .