Efectos precio y comercio en un área monetaria asimétrica

Abstract

Using a three countries model with flexible exchange rates, this study tries to analyz the situation in an asymmetric monetary area around a big country. The model consider a stochastic framework where the monetary policy is used to stabilze the inflation and the current account. The monetary policy works through the exchange rate and the interdependence is a consequenc of the exchange rates´ spillovers (trade and prices effects). The Nash equilibrium was obtained and based on this result it is showed under wich circumstances cooperation could improve the policymakers situation. The relation between spillovers specifyes the optimal monetary policy choice between coordination or Nash (to fix the exchange rates or not) and the viability of the coordination rule.