Exchange Market Pressure
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DOI: https://doi.org/10.1057/978-1-349-95121-5_2913-1
Abstract
Currencies can be under severe pressure in the foreign exchange market, but in a fixed (or managed) exchange rate regime that is not fully visible via the change in the exchange rate. Exchange market pressure (EMP) is a concept developed to nevertheless measure the pressure in such cases. This article describes EMP and its measurement.
Keywords
Central bank Currency crisis Exchange rate regime Interest rate Intervention Monetary policyJEL Classifications
E52 E58 F31 F33This is a preview of subscription content, log in to check access.
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© The Author(s) 2010