Countries on fixed exchange rates sometimes use uniform tariff cum subsidy (UTCS) schemes as a way of achieving a real depreciation without disturbing the nominal exchange rate. A potential drawback of this policy in relation to an across-the-board devaluation is that a UTCS scheme provides incentives for illegal trade. Using an optimizing model with currency convertibility and illegal trade, the author finds that welfare is lower under a UTCS scheme...
更多显示
详细
-
1992/09/30
-
日志文章
-
14105
-
1
-
1
-
2010/07/01
-
Uniform commercial policy, illegal trade, and the real exchange rates : a theoretical analysis
-
Smuggling