Citation:
[Journal:] Aussenwirtschaft [ISSN:] 0004-8216 [Volume:] 68 [Issue:] 1 [Publisher:] Universität St.Gallen, Schweizerisches Institut für Aussenwirtschaft und Angewandte Wirtschaftsforschung (SIAW-HSG) [Place:] St.Gallen [Year:] 2017 [Pages:] 109-114
Publisher:
Universität St.Gallen, Schweizerisches Institut für Aussenwirtschaft und Angewandte Wirtschaftsforschung (SIAW-HSG), St.Gallen
Abstract:
Studying the currency competition episode in Switzerland of the 19th century, I argue that modern economies need a single supplier of money to pursue stabilization policy. In small open economies with integrated capital markets, the uncertainty about the real exchange poses new risks to monetary policy which were only little discussed in the previous literature.