About the product
Based on an analysis of the Argentinean currency board and the full dollarization scheme in Ecuador, this paper argues that an intermediate exchange rate regime is a better option for countries trying to implement monetary structural adjustment policy. The study highlights some of the negative effects, i.e. rising prices and high inflation faced by these economies as they attempted new economic policies, mainly as a result of external financial shocks and the worldwide export and import structure. It goes on to examine some of the external factors that impact economic policy and in conclusion provides a full summary of the monetary adjustment plans implemented by the two countries.
