[OPE-L:7257] exchange rates

From: Rakesh Bhandari (rakeshb@stanford.edu)
Date: Fri May 24 2002 - 14:20:33 EDT


>  Rakesh mentioned in a recent post a
>recent article of mine on this subject on the Monthly Review website.  I
>was hoping that others might want to discuss points in this article and
>especially the conclusion that the recession is not over and the worst is
>yet to come.  Perhaps I will come back to this article in a subsequent
>post and see if there is more interest.


Fred,
In terms of your prediction about a flight from the dollar, I would 
put the same three questions to you:

1. What is your general theory for the determinants of exchange 
rates? Do you rely on Shaikh for example?
2. Does the dollar play a unique role in the world economy, e.g., in 
terms of meeting liquidity requirements?
3. Can single country or even coordinated political actions affect 
exchange rates?


All the best, Rakesh



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