Events

The Events of the Department of International Economics.

19 Dec 2018

DIW Seminar on Macroeconomics and Financial Markets Currency Manipulation

We propose a novel, risk-based transmission mechanism for the effects of currency manipulation: policies that systematically induce a country's currency to appreciate in bad times lower its risk premium in international markets and, as a result, lower the country's risk-free interest rate and increase domestic capital accumulation and wages. Currency manipulations by large countries also have external effects on foreign interest rates and capital accumulation. Applying this logic to policies that lower the variance of the bilateral exchange rate relative to some target country ("currency stabilization"), we find that a small economy stabilizing its exchange rate relative to a large economy increases domestic capital accumulation and wages. The size of this effect increases with the size of the target economy, offering a potential explanation why the vast majority of currency stabilizations in the data are to the U.S. dollar, the currency of the largest economy in the world. A large economy (such as China) stabilizing its exchange rate relative to a larger economy (such as the U.S.) diverts capital accumulation from the target country to itself, increasing domestic wages, while decreasing wages in the target country.

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Speaker

  • Tarek Hassan, Boston University

    • Time
    12:00-13:15
    Location
    Joan Robinson Room DIW Berlin Room 3.3.002a Mohrenstraße 58 10117 Berlin
    Contact(s)
    at DIW Berlin
    Tel.: +49 30 89789 486
    Tel.: +49 30 89789 409
    10 January 2019

    Seminar Series on Research in Development Economics TBC

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    Speaker

  • Salvatore di Falco, Université de Genève

    • Time
    12:30 - 14:00
    Location
    Karl Popper Room DIW Berlin Room 2.3.020 Mohrenstr. 58 10117 Berlin
    Contact(s)
    at DIW Berlin
    Tel.: +49 30 89789 436
    23 January 2019

    DIW Seminar on Macroeconomics and Financial Markets Monetary Policy Spillovers, Capital Controls and Exchange Rate Regimes, and the Financial Channel of Exchange Rates

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    Speaker

  • Georgios Georgiadis, European Central Bank

    • Time
    12:00-13:15
    Location
    Joan Robinson Room DIW Berlin Room 3.3.002a Mohrenstraße 58 10117 Berlin
    Contact(s)
    at DIW Berlin
    Tel.: +49 30 89789 486
    Tel.: +49 30 89789 409
    7 February 2019

    Seminar Series on Research in Development Economics TBC

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    Speaker

  • Kate Orkin, University of Oxford

    • Time
    12:30 - 14:00
    Location
    Karl Popper Room DIW Berlin Room 2.3.020 Mohrenstr. 58 10117 Berlin
    Contact(s)
    at DIW Berlin
    Tel.: +49 30 89789 436
    25 to 26 April 2019

    Workshop Finance and Development 2019

    Financial systems have developed rapidly in many developing countries. These changes increase the need for research into their effects. To this end DIW Berlin will host a workshop in the field of “Finance and Development” to be held in Berlin on April 25 in the afternoon and full day April 26, 2019.

    Attendance by invitation!

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    Speaker

  • David McKenzie (World Bank)

    • Location
    Elinor-Ostrom-Saal DIW Berlin Room 1.2.019 Mohrenstr. 58 10117 Berlin
    Contact(s)
    at DIW Berlin
    Tel.: +49 30 89789 436